A buyer has been found for a Douglas County office building that is in receivership.

The Salt Lake City-based hospital chain Intermountain Health is under contract to buy the Gateway Plaza at Meridian building at 9800 S. Meridian Blvd., according to court records.

Intermountain is set to pay $11.36 million for the four-story building, according to a purchase agreement submitted in connection with the receivership. A judge has approved the sale, but it has yet to close.

Gateway Plaza was built in the mid-1990s and is about 142,000 square feet, according to LoopNet.

The price works out to about $80 a square foot. And it’s a nearly 50% drop from 2016, when the Gateway Plaza’s current owner — Portland, Ore.-based Felton Properties — paid $21.55 million for the structure.

Felton defaulted on the building’s loan in mid-2023, according to a lender, who had Gateway Plaza placed into receivership in January 2024. Felton also owns the Meridian One office building across the street at 9785 Maroon Circle. That property is also in receivership.

Intermountain moved into the Colorado market in 2022, when it merged with Broomfield-based SCL Health.

Intermountain declined to make an executive available to discuss the Gateway Plaza deal. In a statement to BusinessDen, however, the company said: “The south metro area of Denver has seen tremendous growth, and we are excited to take the first step in expanding into the area.”

Intermountain won’t be the first local hospital chain to buy office space on the cheap in Douglas County. Chicago-based CommonSpirit Health, whose local hospitals include St. Anthony in Lakewood, bought the former TTEC headquarters building at 9197 S. Peoria St. in November. CommonSpirit plans to demolish the 270,000-square-foot structure as it builds out a 42-acre campus.

— Thomas Gounley, BusinessDen