Pioneer Center announced today that it is in the process of purchasing the former Family Service building in McHenry.
“There is a silent crisis in McHenryCounty as more individuals than ever find themselves in need of assistance,” explained Patrick Maynard, CEO of Pioneer Center. “Each year, the number of those in need grows, stretching available resources to their limits in order to accommodate individuals and their families.”
Currently, there are more than 5,000 individuals with a developmental disability in McHenry County. Only 18%, or 936, of those receive services.
In addition, with the closure of Family Service, those seeking behavioral health services from Pioneer Center nearly tripled in the past 10 months. Within the next 6 months the State of Illinois estimates that 60,000 people will be added to Medicaid rolls because of expanded eligibility under the Healthcare Reform Act, which means that an estimated 4,400 newly insured individuals will be able to access behavioral health services.
Maynard continued: “Pioneer Center is responding to this ever-growing need. An opportunity has presented itself for Pioneer Center to purchase a new building and improve existing facilities. This next step in our evolution will allow us to enhance our current services while providing additional services to the community. Thanks to responsible fiscal management, PioneerCenter is able to take advantage of this opportunity while strengthening our long-term financial position.”
PioneerCenter is purchasing this building without a capital campaign or additional funding from taxpayers. Even with the proposed building purchase, PioneerCenter’s debt-to-equity ratio will be a very healthy 0.43% in 2014. By contrast, 1% is considered to be optimal and the ratio of the previous occupants of this building was 2.74% in 2013.
True to their reputation for responsibility, PioneerCenter is taking advantage of the real estate market to get the building at a fraction of the price. While the current rate in the suburbs for new commercial buildings is roughly $200/sq ft and for used commercial buildings is roughly $120/sq ft, PioneerCenter’s purchase price for this building is $56/sq ft which includes furniture and equipment.
“We are proud of the clients we are able to serve with the funding that we currently receive, and are working every day to better serve the community. We have made it our mission to be responsible with the funds that are entrusted to us. And as that support grows, the public can be assured that we will use every additional dollar to its maximum potential to serve those in need,” Maynard concluded.