Redmond’s Urban Renewal Advisory Committee Monday night strongly endorsed the addition of a large new $6.2 million dollar medical complex across Larch Street and one block to the west of St. Charles Redmond. Central Oregon Medical Properties, CD Redding Construction and Darren Pleasance have already bought the old Central Oregon Medical Specialists building at 333 NW Larch. They paid just over two million dollars for the old building including the land.
The plan is to tear down the old building in stages and add new facilities right next door so that medical activities can keep going while the new medical complex is being constructed. One by one the pre-existing medical offices will be vacated and their operations moved to the new facility right next door. If the deal is finalized by the Redmond City Council, as it surely will be, construction will begin this September with completion in the fall of 2019.
Review and approval by the city council is required because the city will be putting up $600,000 in city urban renewal funds to help down-write the cost of the new medical complex. The $600K is in the form of a loan that would be forgiven at a rate of $100,000 per year provided the project attracts enough doctors, support personnel and medical equipment that will help make the new facility successful.
Although the city’s loan would be forgiven, the city will enjoy the offset of increased property tax revenue from the new complex at a rate of about $55,000 a year. In addition, the new facility is expected to act like a medical magnet drawing in more medical offices and medical specialists to Redmond that will further boost the local economy. The end result will make Redmond a kind of medical center in its own right, rather than having to constantly refer Redmond area patients to medical facilities in Bend.
The Redmond City Council is expected to give their signature of approval for the project within a week or two.
Again, the developers say they’re anxious to get going on specific designs and getting everything ready to begin construction this coming September and have it completed sometime in September of next year.