Business Showcase

Growth painsSan Diego International Airport is following a master plan for growth, despite serious constraints on its future capacity, Martin Ashcroft discovers. San Diego International Airport has a unique history and some unique present day circumstances. In 1927, Charles A Lindbergh took off in The Spirit of St Louis from Dutch Flats, just north of the current airport, on the first leg of the journey that would end with his becoming the first person to fly solo across the Atlantic.  

Crystal ballSenior vice president George Read tells Gary Toushek what he sees in the future for Shore GoldÔÇÖs diamond explorations. "On the Star Diamond project we have defined our resource and can now enter a pre-feasibility study, ultimately with the definition of a reserve calculation, then we move on to bankable feasibility by the end of 2008.ÔÇØ  

Finding the sweet spotTransitioning from an old facility to a new one is not exactly a piece of cake, SVP Autumn Bayles explains to Gary Toushek. In 1914 baker Philip Baur and egg salesman Herbert Morris went into business together in Philadelphia to produce small baked goods using ingredients delivered fresh daily to their bakery. MorrisÔÇÖs wife proclaimed the products ÔÇ£tasty,ÔÇØ so the Tasty Baking Company was born, and the products bore the brand name Tastykake.

┬áA new approachGary Toushek investigates how Vancouver is planning for the healthcare needs of the elderly with its Residential Care and Assisted Living Capacity Initiative. Vancouver Island, British Columbia, is famous for its temperate climate and idyllic surroundings that attract retirees, which today means mostly empty-nesters over the age of 50. ItÔÇÖs a group that includes joggers, golfers, boaters and other active people, as well as more sedentary and slower-moving seniors: overall, a group that increasingly requires more healthcare services.

Crystal ballSenior vice president George Read tells Gary Toushek what he sees in the future for Shore GoldÔÇÖs diamond explorations. "On the Star Diamond project we have defined our resource and can now enter a pre-feasibility study, ultimately with the definition of a reserve calculation, then we move on to bankable feasibility by the end of 2008.ÔÇØ  

Care with characterColchester East Hants Health Authority CEO Peter MacKinnon shares his healthy philosophy with Jenn Monroe. When designing plans for meeting the future healthcare needs of its community, the Colchester East Hants Health Authority (CEHHA) had among its considerations not only its demographics but also its geology and its geography. 

Healthcare facility design and construction is a booming business, Allina Health SystemÔÇÖs Bill Dunham explains to Gary Toushek Allina Hospitals & Clinics is a not-for-profit regional health network headquartered in the Twin Cities and has 11 hospitals and 64 clinics (25 of them within hospitals) throughout eastern Minnesota and western Wisconsin. Bill Dunham, director of facilities design and construction, is in charge of AllinaÔÇÖs facilities planning and construction services. ÔÇ£Our group provides design and project management/ownerÔÇÖs rep services to all our facilities. We receive project requests that vary from someone needing an office to building a new hospital. I have a staff of project managers that take charge of each project, request proposals from architects and construction services, and provide guidance to ensure that we bottle and budget the project accordingly, to include medical equipment, furniture and so on. WeÔÇÖre part of Allina Real Estate, which purchases the land for new facilities.ÔÇØ An in-house project tracking system allows the department to monitor 338 currently active projects in various stages, having a total value of $305 million; about 300 projects, mostly related to clinics, are completed each year.One major project currently under way is the construction of a new 38-bed hospital in Owatonna, Minnesota, at a total cost of $51.6 million. ItÔÇÖs a replacement for the outdated Owatonna Hospital and is a collaborative effort with Owatonna Clinic. The site is located on 20 acres of land donated by the Owatonna ClinicÔÇôMayo Health System several years ago (and recently valued at $2.6 million). The Minneapolis office of the architectural firm Hammel, Green and Abrahamson is designing the project, which includes 131,000 square feet, with options for future growth and expansion. Allina Hospitals & Clinics has committed $46 million to fund construction, equipment and furnishings. The remaining costs of $3 million will help fund the five Special Project Features (largely funded through philanthropic donations) identified by the local community in 2006, which include a Reflection Center, Community Resource Center, Professional Education Center, Owatonna Commons, and enhancements to the rehabilitation area. Completion of the new Owatonna hospital is slated for mid-2009.Another major project for the facilities department is an expansion of the emergency room (ER) at United Hospital in Minneapolis/St. Paul. The $24 million project will more than double the size of the ER, from 17 rooms to 36. ItÔÇÖs long overdue, according to the numbers; in the last few years emergency patients at United have averaged close to 40,000 for a department designed to handle 22,000. The project will be funded with $12 million that the City of St. Paul will raise through a bond sale (the city council approved a $500 million medical facility bonding package in conjunction with the City of Minneapolis). Another $12 million will come through philanthropic donations. The St. Francis Regional Medical Center in Shakopee, Minnesota has a new 60,000-square-foot medical office building. The $20 million project, which is a partnership between St. Francis and Frauenshuh (a leading commercial and healthcare real estate firm in Minneapolis/St. Paul), triples the space of its previous office building and connects the new building to the Medical Center. The new building houses an expanded Allina Medical Clinic on the first floor and rehabilitation services on the second, and it provides more specialty services locally, including orthopedic, neurological, spine and pain management.Another project in the works is a 1,500-square-foot renovation of the existing surgery area and a 2,600-square-foot renovation of the old outpatient clinic space at River Falls Area Hospital in River Falls, Wisconsin. The $3.1 million project will double the size of the current surgical area, adding two more operating rooms and two endoscopy suites for diagnostic screening.ÔÇ£The biggest initiative here at facilities,ÔÇØ says Dunham, ÔÇ£is to come up with Allina Health System construction standards that allow us to build a uniform health system that provides equal aspects in this large community that weÔÇÖre serving, that each site has the same amenities and space and requirements, no matter if weÔÇÖre in a rural Minnesota town or a large metro area, and enables us to get it to market as quickly as possible to sustain our growth.ÔÇØ┬á

North Carolina State University has expanded its campus with help from a state bond bill and by embracing creative private-public partnerships, as Keith Regan learns from Kevin MacNaughtonNearly every public university struggles to secure the funding needed to fuel its facilities expansion plans. North Carolina State University is no exception, and its creative approach to enabling growth is getting noticed. For years, the North Carolina legislature backed a pay-as-you-go approach to capital investments on its publicly funded college campuses. If additional money came into the state treasury, some would be set aside for academic and research facilities. In 2000 the legislature passed a $2.5 billion bond for higher education projects. About a half-billion dollars of that amount found its way to the Raleigh campus of NC State. That money helped jump-start building projects on the three contiguous campuses that make up the university. And when combined with creative private-public partnerships, it helped reshape the face of the university, says Kevin MacNaughton, the universityÔÇÖs associate vice chancellor for facilities. NC StateÔÇÖs campus comprises three parts: a central traditional campus where academic and research activities take place; the Centennial campus, where academic and research takes place alongside corporate partners; and the Centennial BioMedical campus, which traditionally housed the universityÔÇÖs veterinary school but is now also embracing a corporate partnership philosophy. Early in 2008, the Centennial CampusÔÇöwhich houses more than 130 companies and government agencies and has attracted partners such as software maker Red Hat, pet food maker Iams and GlaxoSmithKlineÔÇöwas named the top Research Science Park of the Year by the Association of University Research Parks. ÔÇ£We look for creative ways to collaborate with companies,ÔÇØ MacNaughton says, noting that students are able to perform research work and internships with the companies based on the campus that often lead to postgraduate employment. Those partnerships have also enabled the campus to stretch out the stateÔÇÖs capital dollars. ÔÇ£We have buildings we were able to construct without capital appropriations.ÔÇØ For instance, a 40,000-square-foot mixed-use facility now under way near the veterinary school will include about 10,000 square feet of lab space the school will rent from the private developer. Two other projects now going through the request for proposals and bidding processes may also be done as private-public partnerships, including a laboratory sciences building and an apartment-style housing project. ÔÇ£We want to have a mix of owner equity and private equity on the campus,ÔÇØ MacNaughton states. In many cases, ownership of the privately financed and built projects reverts to the university after a period of 40 years. Other projects now in process will help expand the efforts to more closely align university teaching and research with commercial businesses. For instance, the $72 million Terry Center for Veterinary MedicineÔÇöBovis Lend Lease is the site work construction managerÔÇönow under way will serve as an animal hospital and research facility. That 110,000-square-foot buildingÔÇömore than double the size of the current companion animal hospitalÔÇöwas made possible thanks to a $20 million pledge from the estate of Randall B. Terry Jr., a philanthropist whose golden retrievers were treated at the college. Meanwhile, on the Centennial Campus, work is under way on what will become Engineering Building III, a $104 million project being managed and built by construction manager, Skanska. Once completed, the facility will enable the engineering college to make another step in its migration to the Centennial campus, where engineering research and education will be more closely aligned with the commercial enterprises on that campus. ÔÇ£ThereÔÇÖs a major push to make the engineering school one of the top schools in the country, so thereÔÇÖs been a major commitment to putting the facilities in place to enable that to happen,ÔÇØ MacNaughton notes. Both those facilities were designed before a recently enacted campus mandate required that new projects seek at least Silver designation from the Green Building CouncilÔÇÖs LEED Program. However, MacNaughton says the engineering building may still be submitted for certification, and both buildings include significant elements of sustainability. In fact, sustainability is taking center stage in several ways at NC State. The campus is currently planning a $53 million project that will upgrade its electrical power stations. By replacing two major boilers with more modern and efficient ones and employing co-generation to wring more power out of the same amount of fuel, the campus hopes to reap savings that can then be plowed back into additional energy conservation projects. University Chancellor James Oblinger declared a ÔÇ£Year of EnergyÔÇØ at NC State, during which the university will marshal resources toward becoming more carbon-neutral. A solid foundation is already in place, with the campus boasting the stateÔÇÖs largest solar panel arrayÔÇöbuilt atop a onetime EPA Superfund environmental cleanup siteÔÇöand the land-grant university holding hundreds of acres of forest and agricultural land around the state that can help offset emissions. ÔÇ£ThereÔÇÖs been a high-level commitment to drive forward toward a carbon-neutral campus,ÔÇØ MacNaughton says. That will also involve taking a fresh look at ways to maximize the use of public transportation to and around the campus, which is located within the Raleigh city limits. The university is also engaged in talks with the city about using so-called gray water to irrigate the soon-to-be-completed 18-hole golf course being built on campus. That course will also be a research and educational tool for the universityÔÇÖs turf grass program, which is widely considered one of the best in the country. The university enjoys a positive partnership with the city, MacNaughton says, and another plan about to take shape calls for a main road that serves as the front door to the campusÔÇöHillsborough StreetÔÇöto undergo streetscape improvements as part of a larger effort to revitalize the area. ÔÇ£We want to maintain a favorable relationship with our host city,ÔÇØ MacNaughton adds. ÔÇ£We want to be able to do it in a way that does not disenfranchise anyone but that allows for economic development to take place as well.ÔÇØ┬á

Prepare for take-offWith increased passenger traffic comes the need for smart growth. Pensacola Regional Airport employs a multifaceted strategy to get the job done. Kate Sawyer gets onboard. Pensacola Regional Airport has something to smile about. It is the fastest growing airport between New Orleans and Jacksonville, Florida, with a reported 1.6 million passengers served in 2006. Since 2001, the Airport experienced a 53.5 percent boost in passenger growth, an increase not seen since the early 1990s.