The document discusses the proposed redevelopment of the SUNY Downstate Medical Center hospital campus. It provides background on the project objectives to optimize real estate assets while providing community benefit and financial returns. It introduces MDS Consulting as the firm to assist with the project and outlines their qualifications and experience with large, complex healthcare facility redevelopment projects. The work plan and timeline will include developing a campus master plan, economic models, and community input to achieve the redevelopment goals.

1. Redevelopment of Hospital Campus
of SUNY Downstate Medical Center
March 22, 2009
24584 Hawthorne Boulevard 535 Anton Boulevard, Suite 880
Torrance, CA 90505 Costa Mesa, CA 92626
P: 424 237 2525 ■ F: 424 247 8248 www.mdsconsulting.com P: 714 754 5424 ■ F: 714 754 6995

2. Overview
Discussion Agenda:
 Project Background/Objectives
 Building Blocks and Expectations
 Overview of MDS
 Project Qualifications
 Process/Methodology
 Elements to be Evaluated
 Work Plan
 Project Team and Bios
 Client References
 Project Deliverables
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3. Project Background/Objectives
 SUNY Downstate Medical Center (“SUNY DMC”) has identified a need to optimize its
real property assets.
 Key Questions:
– How will this provide community benefit?
– What will be the financial returns?
– What is our acceptable risk profile?
– How long will this take?
– What is the best process to achieve the goals?
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4. Building Blocks and Expectations
 Potential Goals
Meets
Organizational
Objectives
Positive
Outcomes/
Community Financial Expectations
Presence Contribution for
Medical Center
Platform for
Expanded Hospital/
Brand Awareness
Service Area Community
Alignment
Provide
Meets
Redevelop- Comprehensive
Community Outreach
ment Continuum of
Needs
Services
Components
Technology Enhance Clinical
Education Research
Integration Services
Appropriate
Strong Local Leadership Market Based Realistic Timeline
Expertise
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5. Next Steps
 Define Objectives
 Develop Campus Master Plan
 Prepare Economic Models
 Community Input
 Entitlements
 Engage Development Community
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6. Overview of MDS
 MDS is a full service healthcare consulting firm with two offices.
 Our professional staff have the ability to perform multiple projects
simultaneously.
 We work nationally with recent client work in New York, New Jersey,
Connecticut, Massachusetts, Florida, Alaska, Arizona, Oregon, Montana,
Texas, and Washington.
 We have a multidisciplinary team with extensive experience in facility
master planning development, strategic and service line planning, financial
advisory services, and ambulatory service development including joint
ventures.
 The principals of our firm have executive level experience on the provider
side with hospitals, health systems and physician groups.
 Our team has direct responsibility for the development of major healthcare
related projects around the United States.
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7. Relevant Project Experience
 California Hospital Medical Center,
Los Angeles, CA
– Master developer for downtown Los
Angeles hospital.
– Project included:
» New Patient Tower
» New Emergency Department Project spanned almost 15 years and required a
» Renovation of Nursing School broad span of real estate expertise. Site
» Non-profit Sponsored Housing required toxic clean up, extensive
Elements environmental review, community involvement
» Parking Structure and utilized multiple developers to complete the
» Child Care Center projects.
» Medical Office Buildings
Project Reference: James Yoshioka (retired)
Total Project Value $500 million
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8. Relevant Project Experience
 St. John’s Santa Monica Hospital,
Santa Monica, CA
– Hospital Replacement Project
– Conversion of Commercial Office
Building to Ambulatory Surgery
Center/ Medical Office Building
– South Campus Master Plan
» John Wayne Cancer Institute
» Community Housing
» Wellness Center
» Parking
– Expansion of Parking Structures
– Development Agreement with
City of Santa Monica
Project Reference – Bob Klein,
President, St. John’s Medical
Center Foundation
Total Project Value $750 million
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9. Relevant Experience
 Concordia University Irvine,
Irvine, CA
– Land Acquisition
– Entitlements
– Campus Master Planning
» University
» Student Housing
» Child Care Center
» Conference Facility
» For Sale Single Family Housing
(Proceeds were used to fund Project Reference – Dr. Ray Halm
(retired)
development of the campus
and to create an endowment.)
Total Project Value $200 million
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10. Relevant Project Experience
 Cottage Hospital,
Santa Barbara, CA
– Replace in place a 500 bed hospital
to meet seismic requirements
– Project also includes two parking
structures
– Part of old campus to be redeveloped
as employee housing
– Projected project time line is 15 years
Project Reference: Ron Biscaro
Total Project Value $750 million
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11. Relevant Project Experience
 Silver Cross Hospital,
Joliet, IL
– 300 bed replacement hospital moving
from Joliet, Illinois to New Lennox
– Campus to include hospital, outpatient
facilities and medical office space.
– New site is adjacent to recent extension
of toll road
– Project required CON
Project Reference: Ruth Colby,
SVP of Planning
Total Project Value $350 million
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12. Relevant Project Experience
 Martin Luther King Medical Center,
Los Angeles, CA
– Troubled Hospital that eventually lost
its CMS accreditation
– Maintained outpatient presence on
campus
– Preserved graduate medical education
slots
– Reached agreement with University of
California to assist in reopening
– Created framework for new non-profit
structure as operator Project Reference: Dr. Bruce Chernof
– Negotiated IGT’s among Federal, (retired )
State and County agencies
– Assisted in the attainment of $100
million philanthropic pledge
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13. Relevant Project Experience
 March Air Force Base Re-Use,
Riverside, CA
– Planned development of new
medical campus
– Acute Care Hospital
– Medical Office
– Research Space
– Sub Acute Care
– Assisted Living
– Senior Housing
Total Project Value $800 million
Project Reference: Don Eckerd
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14. Relevant Project Experience
 Conversion of Commercial
Building to Medical Office,
Santa Monica, CA
– 160,000 SF
– 900 Space Parking Structure
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15. Relevant Project Experience
 Comprehensive Cancer Center,
Carson City, Nevada
• 45,000 Square Feet
• Radiation Oncology
• Medical Oncology
• Education
Medical Office Building, Carson
City, Nevada
40,000 Square Feet
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16. Relevant Project Experience
 John Muir Ambulatory
Surgery Center and
Medical Office Building,
Concord, Ca
– 110,000 Square Foot
Medical Office Building
with Major Ambulatory
Surgery Center
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17. Project Team
Depth of Knowledge and Experience
Craig Beam
Project Executive
Jon Yipp Micheal Keller
Project Staff Project Staff
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18. MDS Bios – Continued
Craig Beam – Senior Vice President and Project Executive
Craig Beam is a senior vice president with extensive experience as an advisor to many
national and regional health care systems and physician groups for over 25 years. His
range of projects includes strategic planning, capital planning, mergers and acquisitions
and facility development. He has also directed several difficult and challenging
turnaround situations.
Mr. Beam was President of Beam & Associates and initially focused on strategic master
planning and development of health care facilities. In 1998, Beam merged with Hammes
Company to help create one of the largest health care consulting and development firms
in the country. As a regional vice president for the West Coast he assisted several
national health care systems in their capital planning processes and business plan
reviews.
Mr. Beam most recently served as chairman of the American Heart Association and is
currently the Treasurer of the World Heart Federation. He also has been on different
boards of the National Institutes of Health, Pacificare and UniHealth. He has coauthored
several health care related papers including “Best Practices for Management and
Construction of Buildings Under OSHPD” and the State of California’s “Master Plan for
Heart Disease Prevention.”
He has a degree in business administration from California State University,
Fullerton and holds the professional designation of Counselor of Real Estate.
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19. MDS Bios - Continued
Jon Yipp – Senior Manager
Jon Yipp is a senior manager with over 18 years of healthcare planning, consulting and
hospital operational experiences. He has led and participated in many complex
consulting engagements in performance and operational improvement, strategic and
business planning, service line development, financial turnaround, hospital joint-ventures
and due diligence, fairness opinions, as well as facility construction, and master planning.
Prior to joining MDS, Mr. Yipp was an assistant hospital administrator over support
services at Kaiser Permanente where he successfully led the planning, license
preparation, and transition of services into a new 106 bed inpatient tower. In this role, he
had oversight of facilities and construction services and a $38M capital budget. He also
facilitated the development of inpatient and outpatient facility master plans for two
hospitals and 12 medical office buildings.
Mr. Yipp previously held positions as the director of planning and performance
improvement at a service area in Kaiser Permanente as well as senior consultant in
operations improvement and strategy consulting for the company’s corporate office.
Mr. Yipp received his MPH, with a concentration in Health Services Policy and
Management, as well as a bachelor’s degree, from UCLA.
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20. MDS Bios - Continued
Michael E. Keller – Senior Manager
Michael’s accomplished career spans over 28 years and has been dedicated to
construction management and real estate development. His career has taken him from
coast to coast and covers the spectrum of construction types. He’s managed the
construction of restaurant facilities, shopping centers, large affordable housing projects,
and countless medical facility projects across the U.S.
In the 1990s while living in New York, Michael oversaw the construction of over 2,500
units of affordable multi-family housing under various city sponsored programs, 350 units
of senior housing; the vast majority under HUD Entitlement 202 and 20 owner-occupied
with rental component New York City Housing Partnership homes. During this time
Michael was also involved in delivering a 240 bed nursing home facility for the Episcopal
Health Services, a 20,000 SF multi-health services facility, a laboratory addition and 4
satellite primary care centers for Brookdale University Hospital.
Michael’s multidisciplinary expertise gives him special insight regarding every aspect of
the development process. He has managed residential, medical, hospitality, and retail
projects. He also has public works and city planning experience from his time as Chief
Engineering Inspector for the City of Xenia Ohio where he served as acting City Engineer
and sat on the Board of Zoning Appeals. His executive management experience includes
his roles as Vice President of Design and Construction for the DASCO Companies and
Senior Development Manager for Hammes Company Healthcare where he oversaw the
development of over 1.5 Million SF of investment grade medical office space collectively
and managed a staff of architects, engineers, consultants and general contractors.
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