312 KSF Medical Facility Opens in Nashville

Tennessee Oncology has opened Midtown Medical Office Building, a 311,881-square-foot medical outpatient building in Nashville, Tenn. Turner Construction Co. served as general contractor for the $105 million facility that serves as a cancer center.

Other project partners include engineer Gresham Smith and Johnson Healthcare Real Estate. Truist Bank provided a $98.3 million construction loan for the project in July 2023, according to Yardi Matrix information. The facility topped out last September.

Midtown Medical Office Building also serves as headquarters for OneOncology, a Tennessee Oncology affiliated management company. Tenant improvements encompassed 83,964 square feet.

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Located at 322 22nd Ave. N., the five-story property also includes three levels of underground parking. Services provided include medical, radiation and surgical oncology, along with supportive resources such as nutrition counseling and patient navigation.

Midtown Medical Office Building is less than 1 mile from Vanderbilt University and 2 miles from downtown Nashville. Other medical providers in the area include Ascension Saint Thomas Hospital, TriStar Centennial Medical Center and Tennessee Orthopaedic Alliance.

MOB construction activity slows

Medical office development remained subdued as elevated construction and operating costs continued to make developers cautious. Many builders are holding out for stronger returns, while occupiers continue to prioritize cost control.

The sector’s under-construction pipeline amounted to 2.7 million square feet across 59 U.S. markets by the end of the second quarter, according to a CBRE report. Completions totaled 1.1 million square feet, marking a 49 percent drop from the five-year quarterly average.