PMB JV Opens San Diego Medical Facility

A joint venture between PMB and Sharp Rees-Stealy has officially opened a 75,000-square-foot medical office building in Chula Vista, Calif.

Partners on the project included HGW as architect, Pacific Building Group as general contractor and Solaris Community Capital as New Market Tax Credit consultant. Chase New Markets Corp., Civic Community Partners and Border Communities served as NMTC lenders.

Sharp Rees-Stealy will fully occupy the space. The facility replaces two former properties, Sharp Rees-Stealy Chula Vista and Sharp Rees-Stealy Chula Vista Rehabilitation and Physical Therapy.

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Located in the Chula Vista Center Mall at 480 H St., the medical outpatient building is close to Interstate 805 and less than 3 miles from the city center. Downtown San Diego is 11 miles away. Other medical providers in the area include Sharp Chula Vista Medical Center and Scripps Mercy Hospital Chula Vista.

The three-story facility will provide urgent care, imaging services, family and internal medicine, as well as allergy and cardiology. Other services include endocrinology, pulmonology and neurology.

The property also includes a 127,000-square-foot parking structure with 375 spaces, which is connected to the medical center through a second-floor pedestrian bridge.

MOB sector remains steady

Looking ahead, industry experts anticipate the sector will maintain a stable performance in 2026, supported by continued growth in outpatient services and ambulatory care. Medical office real estate trends show that high tenant retention and limited new supply are expected to sustain rent stability and long-term cash flow.

However, development activity is likely to remain constrained, as elevated financing and construction costs continue to push required returns beyond what current rent levels can support. As of June, the U.S. had 28,726 medical office properties totaling 2.2 billion square feet of rentable square feet.