SV Hospital Foundation Launches Capital Campaign  

$2.5 Million to Buy Offices at Andrieux Street

On November 4 the Sonoma Valley Hospital Foundation launched a capital campaign to acquire, on behalf of the Health Care District, the 5,000 square foot medical office building for sale at 101 Andrieux Street. The estimated $2.5 million acquisition would secure the property as an Outpatient Services Center for our community. Leslie Petersen, Executive Director of the Foundation, explained, “The opportunity to acquire a medical building just two blocks from the hospital doesn’t come along often. With philanthropic support, we can make this property a lasting community asset and give our hospital the flexibility it needs to expand services and make care more accessible to our community.” 

Acquiring it will give the hospital and community the space to welcome more physicians, explore additional services and create a lasting community health-care asset that can serve Sonoma Valley for decades. The additional space will lift the constraint on opportunities to recruit physicians and expand services to meet the needs of the community.  

The opportunity aligns with Sonoma Valley Hospital’s 2026–2028 Strategic Plan to expand access to high-quality care while strengthening long-term sustainability through efficient operations and thoughtful partnerships. Outpatient visits now account for over 60 percent of all hospital encounters, up from roughly 40 percent in the 1990s. Since the Covid-19 pandemic, outpatient care has become the preferred delivery model for a wide range of services — from orthopedic procedures to chemotherapy and cardiac rehabilitation. 

The property allows Sonoma Valley Hospital to align with the shift to outpatient settings and services. It could support additional primary care, specialty physicians and other outpatient services. Sonoma Valley Hospital continues to explore opportunities through its existing affiliation with UCSF Health, drawing on UCSF’s expertise as it considers expanded specialty care in areas such as Cancer, Urology and/or Primary Care.  

Sonoma Valley Hospital’s physician practices operate in multiple leased locations. At 101 Andrieux, existing practices could be brought together to share clinical, reception, administrative and technology resources. As leases expire, consolidation could potentially save up to $250,000 annually in rent, while avoiding investments in properties the District does not own. 

With 101 Andrieux just two blocks from the hospital, laboratory testing, diagnostic imaging, procedures or surgery could be connected within the local health-care system. Increased use of hospital-based services will generate revenue that helps sustain the emergency, diagnostic, surgical and other essential care on which the entire community relies. 

Additional philanthropic support will be needed for renovations, equipment, furnishings and clinical infrastructure, once the scope of clinical services to be offered from this location are determined. 

Sonoma Valley Hospital CEO Kelley Kaiser affirmed, “As community healthcare continues to evolve, Sonoma Valley Hospital must look beyond the hospital campus. The opportunity at 101 Andrieux provides a meaningful path forward, enabling us to expand access to essential services, strengthen local healthcare resources, and better serve our community now and in the future.”