Mar 24, 2006  |  By: JOSHUA LYNSEN  | COMMENTS     

Whitman-Walker Clinic is planning to sell three properties in a bid to expand services, the Clinic announced this week.

Roberta Geidner-Antoniotti, Whitman-Walker’s interim executive director, said the Clinic’s administrative offices and the Elizabeth Taylor Medical Center in Northwest D.C. would be sold.

She said the purchasing developer will create a new building where Whitman-Walker will retain ownership of 30,000 square feet. The building could include any combination of office, retail or living space.

As part of the plan, the Max Robinson Center in Southeast D.C. also will be sold. Its replacement — located somewhere in east D.C. — is expected to be substantially larger than the existing center, Whitman-Walker officials said.

Geidner-Antoniotti said the plan would help bring stability to the Clinic, which has suffered a financial crisis during the past year.

“Our goal is to develop new, state-of-the-art facilities that will allow Whitman-Walker Clinic to continue to provide access to quality health care in locations that are convenient to our clients — both current and future,” she said in a statement announcing the plan.

Whitman-Walker, which specializes in gay and lesbian health issues and HIV/AIDS treatment and counseling, recently announced plans to broaden its scope to focus on primary care services.

“This is a logical offshoot of our new business model, which is based on expanding into primary care and increasing the number of insured clients we serve,” Geidner-Antoniotti said.

Changing business model
Steve Owen, the Clinic’s interim finance director, said the plan was created for several reasons.

“The Clinic is changing its business model, and we need facilities that support that,” he said. “In addition, the facilities we have now were designed for the kind of care that was provided in 1980s and 1990s. But care for HIV has changed so much in the last 15 years.”

Owen said recent jumps in the Clinic’s property value means enough revenue should be gained from the property sale to help cover setup costs in the new buildings.

Although consultants were used to determine the land’s market value, Owen declined to comment on how much Whitman-Walker hopes to receive from the sale.

“We believe, based on the consultants that we’re working with, that we should be able to generate enough capital to do what we want to,” he said. “It won’t be more than enough, but it should be sufficient.”

After announcing the plan March 29, the Clinic asked developers for proposals to acquire and rebuild the three D.C. properties. The proposals are due May 2.

Jair Lynch, the Clinic’s consultant, said that once a developer is chosen, property sales would be timed to allow Clinic services to continue uninterrupted.

Lynch said if the existing clinics are sold before Whitman-Walker has secured replacement facilities, space would be leased so patient care isn’t disrupted.

Lynch said the 30,000 square feet owned by Whitman-Walker in the new building “would become the new Elizabeth Taylor Medical Center.”

Geidner-Antoniotti said the new clinics, which should be completed in early 2009, will improve the resources available to patients and ensure continued operation.

“Not only will modern, larger, more efficient buildings improve the way we deliver services to the community,” she said, “they will continue our drive to make Whitman-Walker Clinic financially stable for many years to come.”

Adam Tenner, executive director of Metro TeenAIDS, said he hopes Whitman-Walker can follow through with that pledge.

“My hope is that there will be no cut in services, or that if there needs to be, Whitman-Walker will work with community groups and the health department to ensure a good continuum of care,” he said. “As the largest AIDS service provider in the region, the health of Whitman-Walker is really paramount to the health of our citizens.”

Ron Simmons, executive director of Us Helping Us, said the plan “makes a lot of sense” because Whitman-Walker benefits from the land sale, yet retains adequate space.

He said the Clinic shouldn’t be concerned about giving up its land, despite the value.

“It’s only worth something if you’re selling,” Simmons said. “If they just keep it, they have the asset, but that’s just on paper. This way it becomes cash.”

Owen said the plan is the first in a series of changes coming to Whitman-Walker clinics.

He said the clinic that operates in Northern Virginia is expected to relocate soon. That lease will expire at the end of this year and is not available for renewal.

“We’re still evaluating what we’re going to do,” Owen said. “We have to do something before the end of the year.”
Owen said operations at other properties owned by Whitman-Walker — including two houses in D.C. used for transitional housing — will not be affected by any of these changes.