Kaiser buys a chunk of real estate next to its Gilroy medical offices

GILROY — Kaiser Foundation Health Plan has bought a big chunk of property next to a Kaiser building in Gilroy, a parcel that’s large enough to accommodate a potential expansion for the healthcare organization at that location.

The healthcare titan paid $3.4 million for 6.9 acres that consist primarily of empty land and a surface parking lot adjacent to Kaiser’s medical office building at 7520 Arroyo Circle in Gilroy, documents filed on July 24 with the Santa Clara County Recorder’s Office show.

The just-bought property and the medical offices are both perched alongside a stretch of U.S. Highway 101 between the interchanges with Leavesly Road and State Route 152, according to county real estate records.

The Gilroy medical offices occupy 4.6 acres, a significantly smaller parcel than the property Kaiser has purchased.

Kaiser has conducted multiple transactions in the Bay Area in recent years to accommodate expansions of its operations.

Separately, the healthcare organization has sketched out plans for a massive revamp of its Santa Teresa campus in south San Jose.

The proposal for this San Jose complex includes the construction of a huge new hospital that would replace Kaiser’s existing main hospital building

At the Gilroy medical offices on Arroyo Circle, Kaiser provides an array of services, according to the healthcare organization’s website.

Among the services at the Gilroy medical offices: internal medicine, family medicine, an injection clinic, a laboratory, obstetrics, gynecology, radiology, ultrasound, psychiatry, dermatology, podiatry, physical therapy, optician and optometry services and podiatry.