Plans to expand their medical services into Wayne County are being made by the University of Michigan Health System. The University wants to go ahead with a 25 year lease for a building, which measures about 100,000 square feet and is located in Livonia. University officials have sent a memo to the University of Michigan Board of Regents detailing the financial and construction requirements of the expansion.
The building that’s currently occupying the site will need to have about $39 million spent on it to bring it up to the required standard and to furnish it with the equipment needed. The rent for the location is said to be $2.7 million per year, but will rise by 5% each year the University of Michigan Health System holds the lease.
The 25 year deal, which is set to cost a total of $107 million, will be voted on during the upcoming meeting of the board of regents. The memo, which was sent from Ora Pescovitz, the Medical Affairs vice president of the university’s health system, referred to the plan as a; “strategic plan to attract patients from outside the local market and to improve overall market share.”