Jon Andreassi EXPANSION — WVU Medicine has signed a lease for all four stories of the Fountainhead building in Southpointe.

CANONSBURG, Pa. — WVU Medicine is coming to the Fountainhead building in Southpointe.

Known formally as West Virginia University Health System, the Morgantown-based health care provider has signed a lease for all four stories of the structure. The Fountainhead sits at the entrance to the mixed-use park, at 555 Southpointe Blvd.

Jim Scalo, CEO of NAI Burns Scalo, the Green Tree-based real estate company that owns the building and brokered the deal, said WVU Medicine will have a first-floor clinic. He said he is unaware of the system’s plans throughout the remainder of the building.

“They’re really growing,” Scalo said of the health system, adding that visibility, access and the ability to effectively post signage from that location appealed to the new tenant, West Virginia’s largest health system and the state’s largest employer.

“The sign is important,” Scalo said. “They didn’t want to go elsewhere in the park.”

Scalo declined to disclose the length of the lease due to confidentiality, saying only that it was “very long-term.”

Space is another attribute at the Fountainhead – 90,250 square feet of it. This structure was one of the first built in Southpointe, in 1995. The mixed-use park is located on 610 acres in Cecil Township, visible to motorists along Interstate 79 in Washington County.

In a prepared statement, NAI Burns Scalo referred to the transaction as “one of the largest lease agreements in the Pittsburgh metropolitan region this year, taking a notable space off the market, and marking a significant net gain for Southpointe as a whole.”

The company said the lease “marks a significant step forward for the Southpointe market,” where occupancy has been lagging. “This lease is a major boost signaling renewed interest and confidence in the area,” as more employees are returning to offices after the pandemic.

Nick Barcellona is pleased with the signing as well. The senior vice president and chief financial officer of WVU Health System issued a statement saying: “Southpointe is a natural fit for our organization … As our footprint has grown to include Southwestern Pennsylvania, West Virginia’s Northern Panhandle and Eastern Ohio, Washington County’s central location and wealth of resources combined to make the Fountainhead a logical choice in support of our goal to deliver seamless, high-quality services across the region.”

Jeff Kotula, president of the Washington County Chamber of Commerce and Tourism Promotion Agency, said the deal should benefit the region. He said in a statement: (This) “solidifies (the county) as the Greater Pittsburgh region’s premier business location and Southpointe itself as the area’s leading business park. Southpointe’s accessibility, visibility and reputation cannot be understated in attracting projects in industries such as health care, manufacturing, energy and others that diversify our economy and offer employment opportunities.”

Washington County Commissioner Nick Sherman said in a statement: “The strong demand in Southpointe underscores the incredible benefits awaiting businesses and families looking to relocate to this vibrant area in Washington County.”

Southpointe and the Fountainhead are now poised for post-pandemic revivals, something that Scalo said is now happening with his company.

“We are experiencing tremendous demand in the office portfolio,” he said. “We have signed more leases in the last three months than we signed in the previous three years.

“The Fountainhead lease is a really big win for Washington County and a net win for Southpointe.”