Trends In Healthcare Real Estate
Since 2010, the healthcare industry has been preparing for the Patient Protection and Affordable Care Act (ACA). As surgeons,
physicians and nurses prepped for the insurance exchanges to open up this October, it is still unclear what will happen in 2014.
Medical professionals are proceeding with extreme caution when making major decisions that will impact their core business
operations, specifically with regards to their real estate expenses. Hospital administrators are increasingly looking at their real estate
to control costs in response to revenue constraints and operating cost pressures. Much of this uncertainty has resulted in mergers,
acquisitions and strategic alliances. These consolidations are providing medical practitioners easier access to capital and greater
bargaining power with insurance companies.
While the future is somewhat uncertain, the healthcare sector is expected to remain relatively robust because of an aging “Baby
Boomer” population and the expansion of health insurance increasing traffic to health care facilities. The following are three distinct
trends that we continue to see within hospitals, healthcare systems, surgery centers and physician practices.
