Centegra Health System

"We were comfortable that Lillibridge understood our network and real estate goals."
 
Mark Parrington
(former) SVP
Centegra Health System
McHenry, IL

LILLIBRIDGE GOES FULL SERVICE FOR CENTEGRA HEALTH SYSTEM

Centegra Health System, a two Hospital system located in McHenry County, IL, was in position for dramatic operating improvement and growth and recognized a need to address their current real estate asset management strategy. Their diverse network of owned properties included 6 medical office buildings, 6 clinics, and 5 vacant land parcels located throughout a 20-mile radius.
 
Although the improved properties appeared to be generally well-maintained, a number of non-strategic assets, vacancies, short-term leases and excess land parcels were factors that affected Centegra's bottom line. Centegra turned to Lillibridge for a portfolio assessment and related recommendations.
 
Shared Trust Leads to Subsequent Assignments
 
Along with an examination of Centegra's core network goals, a portfolio assessment positioned Lillibridge with the market, property, and operations knowledge to make strategic real estate recommendations, centralize the property data, identify areas of potential operating improvements, and recommend specific measures to bring property management to "best practice" standards.
 
Through this initial engagement, Lillibridge developed a level of trust that would lead to success in a subsequent assignment — identifying and analyzing portfolio monetization alternatives for Centegra.
 
"By the time we met to discuss ownership alternatives, we were comfortable that Lillibridge understood our network and real estate goals," said Mark Parrington, former senior vice president of Centegra Health System.
 
Long-Term, Bottom Line Improvement
 
Lillibridge's sound monetization assessments and recommendations gave Centegra the confidence to consider adoption of monetization recommendations that would have positive impacts on their balance sheet and key financial ratios.
 
The Centegra-Lillibridge relationship extended beyond advisory services and into an outsourcing of property management, where Lillibridge was able to make operating improvements, extend lease terms and reduce overall vacancy.
 
"Their dedicated service and attention to detail transitioned seamlessly into our property management engagement," explained Parrington.