Reid Hospital Sold by Rhett Baumgartner Commercial real estate

May 12, 2006

Officials at Reid Hospital, Richmond Indiana announced on May 12th that Whitewater Living Center, a corporation formed by seven investors, including five members of the Dickman family, will purchase the Reid Hospital Campus for a price of $3.35 million. The purchase includes the hospital’s 46.7 acres on Chester Boulevard and 13 acres of adjacent land currently owned by the city.   Rhett Baumgartner of Rhett Baumgartner Commercial Real Estate, Richmond Indiana brokered the deal.

"Mr Baumgartner impressed us as the consummate professional who was able to achieve results. We are grateful that he was involved with the sale of the current campus of Reid Hospital & Health Care Services," said Ted Sobol, Senior Vice President of Reid Hospital.

According to the new owners, the property, including the 650,000 square foot hospital building, will be developed for a mix of retail, restaurant, office and residential use. While exact plans have not been finalized, the potential residential uses include senior citizens apartments, assisted living units, and housing for students attending Indiana University East or Ivy Tech Community College Richmond. The new owners anticipate it will take approximately two years to fully renovate the property.

There are also no plans to demolish any part of the facility and the new owners say they are committed to saving the building’s historic features, many of which date back to 1905. Arrangements have also been made for Reid Hospital to continue to occupy the building until their new $279 million facility is ready for occupancy in late 2008.

The hospital, which went on the market earlier this year at a price of $4.9 million, attracted interest from more than 60 potential buyers. Because a restrictive covenant prevents a hospital from being operated on the site without Reid’s approval, the property was marketed primarily to biotech companies, religious organizations, corporations, and government agencies.