McCarthy Building Companies, Inc. Completes $65M Sharp Rees-Stealy Kearny Mesa Medical Office Building Tenant Improvement

Modernized facility enhances patient access in San Diego and supports Sharp Rees-Stealy’s clinical operations 

SAN DIEGO, Calif. — McCarthy Building Companies, Inc. (McCarthy), one of the largest healthcare construction companies in the U.S., in partnership with Sharp HealthCare’s Sharp Rees-Stealy Medical Group and Cuningham Group Architecture, has completed the tenant improvement of Sharp Rees-Stealy’s Kearny Mesa medical office building (MOB), delivering a comprehensive modernization of an existing two-building campus designed to improve patient experience and operational efficiency. 

Located at 8975 Balboa Avenue in San Diego, the completed tenant improvement includes approximately 100,000 square feet of improved space across two buildings and represents an investment of $65 million. The project brings together a new pharmacy, centralized imaging services such as MRI and CT, and a variety of departments — consistent with Sharp Rees-Stealy’s model of offering comprehensive services in one location. The scope of work also included upgrades to a separate parking structure as well as landscape improvements and exterior enhancements. Construction began in June 2024, with Sharp Rees-Stealy opening the updated facility to patients in early February 2026. The upgraded MOB brings together services previously housed across multiple locations into a more efficient, centralized care environment for the Kearny Mesa area. 

McCarthy served as the design-build contractor for the tenant improvement, coordinating phased completion and owner turnover while performing work within the active healthcare campus. During construction, the project team experienced challenges due to structural limitations that prevented placement of major mechanical equipment on the roof. To mitigate this, McCarthy developed an alternative systems approach that relocated equipment to a newly constructed canopy. This innovative solution allowed systems to serve both buildings while reducing the rooftop loading and minimizing visual impacts to the site. The canopy also supports an elevated exterior area intended for patient use. 

“This project reflects the level of coordination and collaboration required to deliver complex healthcare tenant improvements,” said Matt Carpenter, Project Manager at McCarthy. “The entire team worked closely to support Sharp Rees-Stealy’s operational needs and successful transition to patient care.” 

McCarthy self-performed seven scopes of work, including structural concrete, site concrete, build-out services such as metal framing and drywall, rough carpentry, owner-furnished/contractor-installed (OFCI) items, and Unistrut to help maintain the project schedule and ensure consistent execution aligned with the client’s expectations. In addition, McCarthy self-performed select specialty elements, including the construction of a metal pergola, to maintain progress on the project.  

McCarthy also leveraged its in-house Virtual Design & Construction (VDC) team to support coordination throughout the project, including the use of laser scanning following demolition to capture existing conditions and inform BIM coordination adjustments. The team also performed targeted destructive testing to reduce uncertainty associated with existing construction. 

Designed by Cuningham Group Architecture, the project prioritizes patient access and ease of movement throughout the campus. Improvements include new pedestrian bridge connections that link the existing parking structure directly into one of the buildings across four floors, providing more direct access to care and reducing the need for patients to navigate exterior walkways. A connector bridge between the two buildings further enhances circulation and operational flow. 

“This medical office building represents an important investment in expanding access to comprehensive, high-quality care,” said Melissa Major, CEO of Sharp Rees-Stealy Medical Centers. “By centralizing services, we can reduce barriers, improve convenience and support better outcomes for the patients we serve.” 

Throughout construction, McCarthy worked closely with Sharp Rees-Stealy representatives through regular site walks and ongoing coordination to align with both written standards and operational expectations. The project builds on McCarthy’s long-standing relationship with Sharp in the San Diego region, including repeat work with shared owner representatives across multiple healthcare facilities. The completion of the Sharp Rees-Stealy Kearny Mesa medical office building represents a significant investment in modernizing healthcare infrastructure to better serve patients and staff.  

About McCarthy Building Companies 

McCarthy Building Companies, Inc (McCarthy) is the oldest privately held national construction company in America. With more than 160 years spent collaborating with partners to solve complex building challenges on behalf of its clients, McCarthy is committed to delivering superior results and creating great experiences for everyone. With an unrelenting focus on safety and a comprehensive quality program in all phases of the project, McCarthy utilizes industry-leading design phase and construction techniques combined with value-add technology to maximize outcomes. Repeatedly honored as a Best Place to Work and Healthiest Employer, McCarthy is ranked the 17th largest domestic builder (Engineering News- Record, May 2024). With over 8,000 salaried employees and craft professionals, the firm has offices in St. Louis; Atlanta; Collinsville, Ill.; Kansas City, Kan.; Omaha, Neb.; Phoenix; Las Vegas; Denver; Austin, Channelview, Dallas, and Houston, Texas; and San Diego, Newport Beach, Los Angeles, San Francisco, San Jose and Sacramento, Calif. McCarthy is 100 percent employee owned. More information about the company is available online at www.mccarthy.com or by following the company on LinkedIn, Facebook, and Instagram. More information about the company is available online at www.mccarthy.com or by following the company on LinkedIn, Facebook, and Instagram. 



source https://zweiglist.com/mccarthy-building-companies-inc-completes-65m-sharp-rees-stealy-kearny-mesa-medical-office-building-tenant-improvement/

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