Pennsylvania-based, Universal Health Services, Inc. (NYSE: UHS) announced Monday that it has completed the acquisition of Palo Verde Behavioral Health (Palo Verde) from Tucson Medical Center.  Palo Verde currently operates 48 adult inpatient psychiatric beds. This acquisition establishes the Company’s presence in the Tucson market and expands UHS’s behavioral health presence in Arizona which includes Valley Hospital, an acute inpatient psychiatric hospital and Calvary Addiction Recovery Center, both located in Phoenix.

“We are very excited to consummate this transaction with Tucson Medical Center. As a leader in behavioral health services, UHS is eager to operate Palo Verde with its longstanding reputation for stability and quality care. UHS looks forward to working in partnership with Tucson Medical Center in expanding the facility’s capacity to 84 inpatient beds by the end of 2014. Additionally, we look to develop child and adolescent behavioral health programs to meet the great need and demand in southern Arizona for these services,” said Debra Osteen, President, Behavioral Health Division of UHS.

In addition to the Palo Verde acquisition, UHS has also made a significant investment to grow its operation in the Phoenix market by acquiring a 67,324 square foot medical building which will be converted into a psychiatric hospital. The de novo project in north Phoenix, Quail Run Behavioral Health, will operate 100 inpatient psychiatric beds and is expected to open in the fall of 2014. Quail Run Behavioral Health will provide a broad range of acute behavioral health services for children, adolescents and adults, along with specialty psychiatric treatment programs to specifically address identified service gaps in the greater Phoenix area.

Universal Health Services, Inc. is one of the nation’s largest hospital companies, operating, through its subsidiaries, behavioral health facilities, acute care hospitals, and ambulatory centers throughout the United States, Puerto Rico, and the U.S. Virgin Islands.

For additional information on the Company, visit our website; https://www.uhsinc.com.

Two medical condos sold recently in the northwest submarket and a third in northeast Tucson.

NORTHWEST SUBMARKET
JK Pain Consultants of Tucson (Samir Patel, D.O) bought a 2,287-square-foot office condominium at 12480 N. Rancho Vistoso Boulevard, Suite 180 in Oro Valley, AZ from Oro Vistoso, LLC of Tucson (Kennth Fenster) for $450,000 ($197 PSF). The property was constructed in 2005.

Dr. Patel is a pain physician who specializes in the interventional treatment of chronic pain. He purchased the office to owner occupy. Dr. Patel completed his pain medicine fellowship at the University of Florida in 2008 and is board certified in both Anesthesiology and Pain Medicine by the American Board of Anesthesiology.

Ron Zimmerman, Industrial Specialist with Cushman & Wakefield | PICOR, represented both parties in this transaction.

Redwing Investments, LLC of Tucson (Charles Cardinal, manager) bought a 1,867-squar-foot office condo at 6700 N Oracle Rd, Suites 322 & 323 in Tucson for $252,000 ($135 PSF). The building was constructed in 1985 as a portion of the 6700 Oracle Road Professional Center.

The seller was Hard Rock Investments, LLC of Tucson (Randy Jumper, manager).

NORTHEAST SUBMARKET
In an unrelated transaction, Dr. Adam Pershing, DDS, purchased a 1,844-square-foot dental office at 2300 N Craycroft Road, Suite 4, in Tucson for $390,000 ($211 PSF). The property was built in 1985 and is brick construction in this medical / dental complex Craycroft Professionals, located at Grant and Craycroft.

The seller was Adams Suite 4, LLC of Tucson (Howard L Adams, manager).

Zimmerman can be contacted at (520) 248-0427.

Tulsa-based, QuikTrip Corporation has completed the assemblage of 14 properties at Sunrise Avenue and Ruthrauff Road, near I-10, for a new store site. The 14 small parcels sold for an aggregate of $1.7 million (~ $19.50 PSF) for the approximate 2 acres plus a small segment of street to be abandoned. Most were single family residences and manufactured homes when sold.

Randy Emerson of GRE Partners of Tucson handled negotiations over an 18-month span, from start to finish, and represented the 14 sellers and QuikTrip in the transactions.

Emerson said, “QuikTrip sees this as an excellent future store site given the proposed ADOT reconfiguration at Ruthrauff Road and I-10. I’ve found QuikTrip to be a highly professional and community-minded company. They worked extremely hard to insure that the specific needs of each seller were addressed. Any assemblage like this requires a great deal of effort and perseverance.”

“It has been one of the most complex deals that I’ve worked on in my 30-years in commercial real estate. I really look forward to seeing a future QuikTrip at this corner and am very pleased to have been selected by QuikTrip to provide consulting and brokerage services on this transaction,” says Emerson.

QuikTrip will soon open its 18^th store in Tucson at Ina and Camino de la Tierra in Northwest Tucson and has an additional 84 stores in the Phoenix area. New “Gen-3 stores” as almost complete on Ina, are 6,000-square-feet in size with 16-18 pumps.

QuikTrip has several other sites it is planning in the long term, such as the QuikTrip Travel Center stilled planned for Ina and Star Commerce Way (for full story click here).

Emerson should be contacted at (520) 429-4967 for additional