GAMG to acquire former 7.86 acre Memorial Hospital campus; plans redevelopment

Pawtucket, RI Global Asset Management Group, Inc. (GAMG), a diversified real estate investment and asset management company, reached a major milestone in the acquisition and redevelopment of the former Memorial Hospital campus located at 111 Brewster St. 

An already approved amendment to the deed restrictions allowing for the development to move forward as designed has now cleared the way for final design, planning, and redevelopment of the property, positioning the asset for a large-scale mixed-use residential community designed to serve affordable housing needs, veteran housing demand, and the continued revitalization of the City of Pawtucket.
GAMG also announced that it has initiated the process to uplist its common stock to the OTCQB Venture Market, which the Company believes may improve visibility, transparency, institutional credibility, and broader market participation.

Transformational Adaptive Reuse Opportunity
The former Memorial Hospital campus consists of 386,404 s/f situated on 7.68 acres spanning multiple city blocks within an urban corridor with direct access to Providence and major regional transportation infrastructure.

The redevelopment is expected to represent a $92 million stabilized asset value upon completion and stabilization, supported by approximately:

• $12 million acquisition cost

• $45 million construction and redevelopment costs

Additional soft costs, financing costs, interest reserves, contingency reserves, and project infrastructure expenditures

Upon stabilization, the company currently anticipates the project will generate $650,000 per month of recurring stabilized cash flow, representing $7.8 million in annualized stabilized cash flow to the GAMG platform.

An independent third-party appraisal prepared by Standard Valuation Services previously established a fee simple market value of $24 million for the property in its current condition, highlighting the substantial embedded value and repositioning potential of the asset prior to redevelopment execution.

The property occupies a highly visible and strategically important location within the city and is expected to become one of the largest adaptive reuse redevelopment projects in the region.

Addressing Critical Affordable and Veteran Housing Needs
The redevelopment is specifically designed to address a critical shortage of quality affordable, workforce, and veteran housing within Rhode Island while simultaneously revitalizing a long-vacant institutional property.

Current development plans contemplate a large-scale mixed-use residential community expected to include:

• Approximately 200 residential units

• Affordable housing components

• Market-rate multifamily housing

• Dedicated veteran housing allocations integrated within the community

• Community support services

• Retail and neighborhood-serving amenities

• Healthcare and wellness related uses

The company believes the project will provide meaningful long-term benefits to the local community by transforming an underutilized former hospital campus into a modern residential environment serving veterans, working families, and residents seeking quality housing opportunities within the Pawtucket market.

Management believes the project directly aligns with increasing public and private sector initiatives focused on expanding affordable housing inventory and improving long-term housing accessibility for underserved populations.

Amenity-Rich Modern Multifamily Environment
The redevelopment is expected to create a highly amenitized residential community centered around modern multifamily living, wellness, convenience, and community engagement.

• Planned amenities are expected to include:

• Rooftop recreation and gathering spaces

• Fitness and wellness facilities

• Theater and media rooms

• Coffee shop and café concepts

• Indoor and outdoor dining areas

• Landscaped green spaces and gathering areas

• Community-oriented programming

• Retail and neighborhood service offerings

• Childcare and daycare components

• Wellness, support, and educational programming

The company believes these features will create a fully integrated live-work-play environment designed to enhance resident experience, strengthen tenant demand, and support long-term asset value creation.

Strategic Redevelopment Advantages
Management believes the former hospital structure provides unique redevelopment advantages that would be difficult to replicate in today’s construction environment, including:

• Significant existing infrastructure capacity

• Elevator, plumbing, and mechanical systems already in place

• Efficient residential conversion layouts

• Flexibility for mixed-use programming

• Institutional-grade structural design and infrastructure

• Scale advantages within a supply-constrained market

In addition, the asset benefits from strong long-term regional fundamentals, including:

• Proximity to Providence and regional employment centers

• Access to major transportation corridors

• Ongoing public and private investment throughout the Providence-Pawtucket corridor

• Continued demand growth for quality multifamily housing

• Favorable demographic and housing supply dynamics

The company believes these factors position the redevelopment for strong long-term occupancy and operational performance upon stabilization.

Management Commentary
Richard Balles, chief executive officer of GAMG, said “This project represents far more than a real estate redevelopment. We believe this is an opportunity to create meaningful long-term impact for the City of Pawtucket and for an underserved veteran and affordable housing community that needs modern, quality housing options. The combination of adaptive reuse, community-oriented programming, institutional-scale infrastructure, and stabilized long-term cash flow aligns directly with our strategy of acquiring and transforming large-scale real estate assets with significant embedded value. With an anticipated stabilized value approaching $92 million and projected annualized cash flow of approximately $7.8 million, we believe this redevelopment has the potential to become one of the cornerstone assets within GAMG’s growing real estate platform while simultaneously delivering meaningful social and economic impact to the surrounding community.”

Strategic Outlook
GAMG continues to focus on acquiring and repositioning institutional-quality real estate assets where redevelopment, capital improvements, entitlement modifications, adaptive reuse strategies, or operational improvements can unlock significant long-term value creation.
The company believes the Memorial Hospital redevelopment represents:

• A transformational adaptive reuse opportunity

• A scalable public-private aligned redevelopment model

• A long-duration cash-flowing multifamily asset

• A community-focused housing initiative with meaningful social impact

• A strategically located institutional-scale real estate investment

• A long-term platform asset capable of generating recurring income and appreciation

Management believes the redevelopment further demonstrates GAMG’s strategy of identifying overlooked or underutilized institutional assets and repositioning them into stabilized, cash-flowing real estate investments capable of producing both shareholder returns and community benefit.