Maumee, Ohio – May 6th – Crown MedRealty Partners (“CROWN”), as part of a joint venture (“JV”) with EPC Real Estate Group (“EPC”), is pleased to announce the recent acquisition of the 73-acre Bon Secours Mercy Health (“BSMH”) St. Luke’s Medical Campus. The transaction includes nine (9) medical outpatient buildings (“MOB”) totaling approximately 185,000 square feet. The campus, located approximately 10 miles southwest of Toledo, was acquired via a long-term sale-leaseback in which BSMH will occupy 100% of the space on a long-term basis.
BSMH originally acquired the campus from McLaren Health System—including the now-closed 300-bed St. Luke’s Hospital—as part of a broader strategy to transform the site into a premier ambulatory destination for the greater Toledo area and to support the nearby Mercy Health Perrysburg Hospital. After acquiring the property in 2023, BSMH began evaluating strategic partnerships to support its long-term redevelopment plans.
“After a thorough evaluation, it became clear that reopening or repurposing the former St. Luke’s Hospital was not a viable path forward. Understanding the site’s significance and the strong emotional ties within the community, Mercy Health remains committed to identifying a responsible partner—one capable of honoring the hospital’s legacy while creating long-term value for the area,” said Bob Baxter, President, Mercy Health – Toledo. “With their proven track record and shared vision, Crown and EPC are well-positioned to transform the site into a development that the community can take pride in once again.”
While another buyer was originally involved in discussions, it quickly became clear that Crown, with its depth of experience and commitment to execution, was the right group to move the project forward.
“Crown has a reputation for being able to deliver on its offers,” said Brian Beggs, Chief Investment Officer and Managing Partner of Crown. “When the initial potential buyer could not perform, through various long-term relationships, we gave assurances that Crown shares the vision that BSMH has for the campus and has the right team assembled. We made a commitment that if the project is shifted to us as the buyer, we will work hard in conjunction with BSMH and the City of Maumee to close timely and at the offer price. As we always do, we did exactly that.”
Looking Ahead: Redevelopment Plans –
The transformation of the campus will include upgrades to the existing medical facilities as well as the development of a mixed-use district across more than 30 acres surrounding the former hospital site.
“Crown’s goal in all our transactions is to be a partner to physicians or health systems as they utilize real estate to meet their strategic goals. The opportunity with BSMH in Maumee 100% encompasses that business approach,” said Steve Bessenbacher, Chief Operating Officer and Managing Partner of Crown. “BSMH has a vision to make this campus a long-term outpatient hub for this community. Monetizing their physical assets to reinvest in the operating entities within these facilities allows them to accomplish that vision. We then, through our partnership with EPC, can further develop this. So, the opportunity here was much more than just a simple long-term sale-leaseback—it’s a commitment by all parties involved to help impact the overall community for years to come.”
Mike McKeen, President and CEO of EPC, echoed that sentiment and emphasized the shared commitment behind the redevelopment effort.
“The team here at EPC is grateful for the opportunity to partner with Crown in the acquisition and redevelopment of the BSMH campus in Maumee,” said McKeen. “This was not just an opportunity to partner with Crown—a leading group of real estate professionals who are core-value focused and have a track record of executing on their mission—but also an opportunity for EPC to bring its development skillset to Maumee. Being born in the Toledo BSMH hospital system and attending college in Toledo has made this opportunity unique and special to me personally. We look forward to the continued success of this partnership and for all the stakeholders in the community.”
Demolition of the former St. Luke’s Hospital is already underway, marking the first major step in the long-term transformation of the campus. Over the next two years, the JV will work closely with BSMH and the City of Maumee to commence development of new multifamily and workforce housing to complement the outpatient campus and broader community.
“The changes that will occur at this campus over the next 2–4 years will be amazing,” added Bessenbacher, “and we will have achieved BSMH’s long-term goal of this campus becoming a regional outpatient hub for years to come.”
Mike Sullivan of Cushman & Wakefield facilitated the sale.
About Crown MedRealty Partners
Crown MedRealty Partners, LLC, (“CROWN”) is a privately owned and vertically integrated commercial real estate firm who specializes and focuses exclusively on healthcare related real estate. Headquartered in Kansas City, Missouri, Crown provides its health system and physician partners with a full range of real estate services including investment and capital solutions, acquisitions, development, property sales, management and leasing. With north of $700 million in completed transactions of medical real estate to date, Crown’s managed portfolio presently includes 100+ properties totaling 2 million square feet and spans across 22 states nationwide.
As an industry leader in healthcare related real estate, we believe in thinking creatively, acting with integrity, adapting quickly, and taking a hands-on approach to every deal. If you would like to discuss your future partnership with CROWN, please contact our team at 816-878-6307
