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A new not-for-profit organization, Northumberland Medical Arts Inc. (NMAI), has been formed to build a new facility for doctors and other medical staff.  It will be a three storey 40,000 square foot building located on property leased from the Hospital.  It was originally slated to be adjacent to the hospital on its north side but will now be on the corner of DePalma Drive and Burnham (see plan below).  The land will be leased from the Hospital on a 20 year lease and financed independently of the Hospital.  Their only financial connection will be income from the lease after debts have been paid.


Medical Services BuildingSpokesperson Doug Mann said that:

  • The building is expected to cost $10M and financing will be by a combination of Promissory Notes and a mortgage. 
  • $500K has been received from local investors, including physicians and tenants, to cover preliminary necessities such as preliminary plans, detailed drawings, construction costing and site design.
  • Community investors have answered the call for interest with approximately $2.5 million pledged to date. The funds, secured by Promissory Notes, will be collected in the coming weeks and repaid with interest through the rental income generated. (earlier reports said that the terms of the investments would be around 3.5 to 4% interest for a term of 5 to 7 years.)
  • Discussions with several banks continue with respect to acquiring mortgage funding.


  • An architect was hired 6 weeks ago and has produced preliminary plans and drawings
  • Approvals from town planning, Ministry of Health and the LHIN are pending
  • Tenders should be issued in two months
  • Construction should start October 2015
  • Completion should be November 2016

Tenants, including the Northumberland Family Health (NFHT), a doctor-led team currently made up of approximately 21 local family doctors and other health care professionals, have committed to approximately 85% of space in the building (opportunities still exist for a limited number of tenants).   The NFHT are currently housed in space on the lower level of Northumberland Mall as reported in an earlier post on this project here.

The reason the location was moved was because services were not available there and would require additional expense to be brought from DePalma Drive – under roads and the parking lot!  The design is also now smaller and three storeys instead of two.

NHH Building Announcementl-r Michael Parker, Lou Rinaldi, Dr. Mark Essak, Doug MannAccording to Hospital Board Chair Jack Russell, the benefits of this project are:

  • an opportunity to concentrate health services, including primary care and specialty care, to improve access and minimize travel for local patients and their families;
  • a recruitment and retention draw for physicians and other health professionals;
  • improved proximity to the hospital for primary care physicians and, as such, a greater likelihood that they will retain hospital privileges and be available to care for their patients when hospitalized; and
  • through the land lease, a new (rental) revenue stream to provide long-term financial support for the hospital.

He also said that the hospital is not able to undertake the project itself. The innovative concept developed over the course of the past year with many hours of volunteer-driven support is, instead, a community-led development on land leased to the project by the hospital.

The announcement today was made by spokesman Doug Mann with help from Dr. Mark Essak, Medical Director and Board Chair for the NFHT and director Michael Parker.  The only politician present at the press conference was M.P.P. Lou Rinaldi (photo at right) - but then there is no taxpayer funding or involvement.  Download the full Press Release here.

Below is a site plan of the project - click any image to enlarge.

Medical Services Building - site plan


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