[00.49] John Groberg Background and the Idea behind Viva MedSuites
I've been in commercial estates for about 20 years in the different aspect. In terms of about what I've done, I had an experience in executive suites company that I started in 2001. I was partnering with somebody. We grew that into 10 locations and sold it to Regus. I've done various other things like developments brokerage. I did Salon Suites for several years. And I started wondering if this coworking concept could work for what other niches and decided to try it for medical. That's basically the background.
[02.15] Reason Why Choose to Medical Industry
I just didn't see that anyone was providing coworking timeshare concept for medical practitioners. I saw there was a lot of subleasing that would happen. Somebody would basically be forced to lease more space than they really needed. As small as medical space can reasonably be broken down on an individual basis. Typically thousand square feet might be the smallest that a building owner would be willing to break their space down and somebody like that would basically have to take on more space than they really needed for themselves.
They would have to sign a long multi-year lease, put a bunch of money into building to space out, furnishing it, equipping it and sub-lease it out. Then they'd have all this extra space and they would sublease it out to others who would take a room or two. It’s still predominantly what's out there and I thought the whole idea of coworking in the office sector and the salon sector is to have an intermediary come in take down the bigger chunks of space. Then offer it up in smaller pieces to those who really don't need big space. So, I decided to try that for medical.
[04.29] Business Model
It's very similar to any coworking business model. Basically, where you are taking down a larger chunk of space and you are subdividing it and offering it in smaller pieces to those who need it. I mean it’s just offering space. For now, we only had one location, in the Phoenix, Scottsdale. It's our first location. So far, I've had quite a bit of interest from people in other parts of the Phoenix area wanting me to open in other states in the United States. For now, we just focused in the Phoenix area.
[06.00] Typical Demographic Member of Viva MedSuites
Basically, it's some medical practitioners. There are physicians, surgeons, naturopathic physicians, nurse practitioners, physician assistants and medical esthetics. These are all people that don't need big office space to see patients. They just need an exam room or a waiting room for patients. Maybe a place for an assistant. They typically don't need full-time space. Maybe one day a week, two days a week or it might be a satellite office. It’s really the niche that we're filling in for those who need a small amount of space and for less than full time.
I have ten exam rooms in my location and it still remains to be seen exactly what the averages will be but I'm thinking is probably going to end up being about three or four tenants per exam room. I've might have 40 tenants in my space but not all at the same time.
First of all, the exam rooms are furnished and equipped as you would need in a medical office. They all have sinks, cabinetry, desk and chairs for the doctor and the patients. They all have some form of an exam table or chair and then they're stocked with standard medical supplies. We also outside of the exam rooms have some shared equipment like an autoclave, a centrifuge, scale vital sign monitors. The typical things that doctors use on a regular basis.
[09.45] Strategy to get more member
Well, it's an evolving one. I'm trying to educate the market on a new product type that just doesn't exist yet. it's largely an education strategy. Letting people know that there is a new option now. it didn't exist before. Either had to sign a direct lease for typical space and longer term than you really want it to. Or you have to sublease from somebody who did that. There's a third option where you avoid both all of the downsides of those other two options.
I’m doing pretty much everything, I can think of to reach the medical community. The physicians, surgeons naturopathic doctors, nurse practitioners and physician assistants. I'm marketing heavily online through SEO and Google AdWords campaign. Remarketing in Craigslist and the various different commercial real estate related or office related listing sites. For instance, loop net, search office space, doctor's office space.com.
I'm doing direct mail to a mailing list. I've assembled my own email list over the last couple of years and I do email campaigns. It's just my own database that I've collected over time and from people that come to the website to submit forms. Through networking on LinkedIn. I’ve also done printed fliers and walked around to medical office buildings all around where I'm located and left flyers with all different doctors offices and done display advertising and association medical sites or email blasts to association members through these various medical associations.There’s a host of things and they all contribute a little bit.
[13.00] The Unique Selling Point of Viva MedSuites
it's the only one kind there, nothing such like in other location. They can have access to professional medical clinic space literally by the hour or by the half-day without signing long-term leases. Without having to put up a bunch of money to furnish and equip a place. Without having to lock themselves into a solution that won't really meet their needs in a year or two. it’s very flexible, granular and scalable. They can start very low-risk and small. Then they can add incrementally as their practice grows or as their needs change.
[14.00] The Future Plan of Viva MedSuites
I am not the one who is a big believer in the practice of one-year or three-year, five-year, ten-year plans. I mean there are too many variables in life. I've just learned. My plan is just to stick with it and see where I go. I’ve got interested in this particular industry. I think it'll grow but I don't have any huge ambitions that have to be nationwide or worldwide. I'm going to have fun regardless.
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