Based in Atlanta, GA., Richmond Honan Development and Acquisitions, LLC is a full service real estate company specializing in the development, acquisition and management of medical office buildings throughout the “Sun Belt”. Founded by Lea Richmond in 1975, Richmond Honan began as “The Lea Richmond Company”. As the son of a notable surgeon and a founder of one of Atlanta’s most successful hospital systems, Northside Hospital, Lea Richmond has literally spent his life surrounded by the medical community.
In 1996, Cousins Properties, an Atlanta based REIT, acquired the Lea Richmond Company. Lea Richmond became the President of Cousins Richmond, a division dedicated to large scale, healthcare facility development and ownership. During his 5 year tenure with Cousins, Lea Richmond developed approximately 1,285,000 square feet of medical office space valued at over $298,500,000.
In 2000, Lea Richmond re-acquired the company from Cousins and renamed it Richmond Medical Partners, Inc. Shortly thereafter, Scott Honan joined Mr. Richmond as his new partner and the company became Richmond Honan. They immediately proceeded to develop another 478,000 square feet of medical office valued at approximately $123.2 million.
In 2011 and 2012, Richmond Honan orchestrated a $222.2 million portfolio sale of medical office buildings to Health Care REIT, Inc., (NYSE:HCN). The portfolio primarily consisted of projects originally developed and managed by Richmond Honan in metro Atlanta, Tampa and Houston. In addition to their own properties, Richmond Honan coordinated the inclusion of other previously developed properties into the portfolio.
Since the sale of their portfolio, Richmond Honan has developed or acquired 615,600 sf of medical office with several new projects in various stages of development. They also lease and manage an additional 660,000 sf of medical office for others, bringing their total square feet under management to 975,600 sf.
The ongoing scope of services undertaken by Richmond Honan includes acquisitions, feasibility analysis, pre-development, construction management, property management, accounting, asset management, marketing and leasing. Richmond Honan’s 43 years of experience and networking within the medical community, has resulted in a stellar record of performance:
- Approximately 4 million square feet developed
- Over 700 physician partners throughout the 43 years
- Historic annual occupancy of its properties in excess of 95%
- Richmond Honan buildings have won numerous B.O.M.A. awards for Southern, National or International Medical Office Building of the Year, as well as several TOBY Awards
While flexible in structuring the ownership of their properties, the preferred structure has been one in which the tenants (hospital and/or practices) have a vested interest in the property. This not only stabilizes the ongoing occupancy, but incentivizes the recruitment of compatible tenants to the building.
The Summary on the following page highlights the scope of Richmond Honan’s development over the last 43 years.
The Heart of Richmond Honan
Lea Richmond III
Lea Richmond III heads up the Richmond Partners team. He is the Founder and President of The Lea Richmond Company, The Richmond Development Company and Richmond Medical Partners. For 43 years, The Richmond group of companies have been Georgia’s largest full service real estate group specializing in Medical Office Building development and management. Modern Healthcare Magazine has recognized the Richmond group of companies among the Top 10 providers of medical office facilities in the United States.
During his career, Mr. Richmond has recruited more than 2,000 physician tenants for successful physician, hospital, and company owned facilities throughout the Southeast. His track record of high building occupancy rates (96%) and quality property management performance is unmatched in the industry.
In 1996, Cousins Properties acquired the Richmond companies to form Cousins Richmond. The success of the Richmond companies and, in turn, the continuing success of Cousins Richmond has resulted in the development of more than 3 million square feet of healthcare oriented real estate under the direction of Mr. Richmond over the past 40 years.
Prior to starting his own companies, Mr. Richmond was a successful real estate broker. As a commercial real estate broker, he sold numerous commercial real estate properties and structured several large investment ventures.
Mr. Richmond received a Bachelor of Arts Degree from the University of the South and has been active in many civic and community affairs, such as coaching children’s athletic teams, working with the homeless, leading religious education classes, and participating in Big Brothers of Atlanta and Rotary Club. He has served as a board member of the Hospice of Atlanta, St. Ann’s Catholic Church, and Northside Hospital Foundation Advisory Board.
Scott Honan has 28 years of real estate development and finance experience and is the Co-Founder and CEO of Richmond Honan Development and Acquisitions. Mr. Honan and Mr. Richmond began working together in the late nineties with the various Richmond affiliates. Mr. Honan has had a primary focus in healthcare real estate development since 1997. Richmond Honan was founded in 2000 where Mr. Honan served in several capacities including Chief Development Officer, Executive Vice President, and President. Together, they have co-developed over $350 million of medical real estate assets since 2004 and have transacted over $1 billion since 2011. Mr. Honan also acts as co-manager of various partnerships formed by Mr. Honan and Mr. Richmond.
Prior to Richmond Honan, Mr. Honan owned and operated several integrated companies between 1991 and 1998 all specializing in construction and real estate development. In 1996, Mr. Honan’s construction company expanded into national tenant finish. He built the first fully functional microbrewery constructed in an airport for Miller Brewing Company in conjunction with the Orlando Airport Authority. Mr. Honan also expanded construction activities into Georgia, Florida, Virginia, Texas, New Mexico and Louisiana within two years. From 1991 through 1994, Mr. Honan’s company was centered in residential development and construction. From 1988 to 1991, Mr. Honan consulted with development companies such as Nicklaus/Sierra, The Polo Club, Mobil Oil, and Arvida.
Mr. Honan has a B.S.B.A. from Old Dominion University with a double major in Real Estate Finance and Urban Economics.
He is a sponsor for the Georgia Games and is active with his Church, Northpoint Community, in Alpharetta, GA and the Children’s Ministry. Mr. Honan Co-Founded The Medical Chapels Foundation with Mr. Richmond and all the developed Richmond Honan projects have Judaeo Christian Chapels. Mr. Honan is also the Founder of LifeHope, serving medical mission and ministry.