Case Study

Northumberland Hills Hospital


Opened in October, 2003, the Northumberland Hills Hospital is a state-of-the-art, 137-bed medical facility providing compassionate and patient-centred care. In recognition of its patient focus and community-integrated approach, Northumberland Hills Hospital is a proud recipient of the highest level of hospital accreditation offered by the Province of Ontario. 

The Challenge

Northumberland Hills Hospital engaged the services of Savills to review its non-clinical space needs, and provide recommendations on the most cost-effective real estate solutions for the proposed construction of a new administrative building at its current site. The project would also give consideration to providing the physician community with the opportunity to lease a portion of the building.


Savills Response

Savills professionals addressed Northumberland Hills Hospital’s objectives from a number of perspectives, including: Design and Project Delivery, Construction, Finance, Cost-Benefit Analysis, Landlord Perspective, Tenant Representation Perspective, and Commercial Real Estate Brokerage.

This assignment, included:

  • A detailed review of current leases to identify the pros and cons of each lease as it relates to each location;
  • A review of current work space standards and use, assessment of future requirements, and, if required/applicable, developing future work space standards with respect to non-clinical space needs;
  • The development of a real estate strategy over the short and long terms, including the proposed development on Northumberland Hills Hospital lands;
  • Evaluation of off-site leasing opportunities available through third-party landlords or new design-build facilities; and
  • Feasibility assessments of the proposed building regarding desired tenant mix; potential revenue; building management; optimal ownership structure; and the establishment of short– and long-term capital asset plans, as well as an exit strategy for disposition of these assets.