Our specialty at HBRE is healthcare real estate. Our years of expertise has helped both investors and healthcare professionals find the perfect property for their healthcare businesses. We have built up lasting relationships in the industry, and Tennessee has emerged as one of the industry’s biggest markets in the United States. So, what are the fundamentals of healthcare real estate, and why should they convince you to invest in HCRE? Let’s break it down.
Healthcare Real Estate Is Recession Proof
Even though the property market has been through an extremely chaotic couple of years, healthcare real estate has continued to grow. While it is inevitable that each sector faces its own unique challenges, healthcare spending is around 18.5 % of GDP right now, which is higher than it has been over the last ten years. The fact that it has continued to grow through 2020 and 2021 shows that this trend is extremely promising.
The Delivery Model Is Changing
There has been greater emphasis on moving medical practices, patient care, and pharmaceutical companies off campus and into outpatient facilities and similar venues. The reason for this is that many hospitals and other healthcare businesses are looking to lower their costs, but they are also looking to increase patient convenience for the patient. This means that healthcare real estate is in extremely high demand right now. There are many businesses looking for space that they can work in which will suit their unique needs.
Healthcare Real Estate Retention Rate Is High
Research shows that while 60% of tenants in more general office properties will renew their lease, more than 80% of medical tenants renew. This means that you can build a relationship with your tenants that will last.
Healthcare Real Estate Requires Business Expertise
Landlords want assurance that the businesses they lease to are credible and devoid of risk. In the healthcare industry, there is a level of expertise and experience required to operate as a business that makes for a high entry barrier. This is one reason why employee retention in healthcare is so important. All in all, healthcare companies are some of the most reliable tenants landlords can have.
If you are interested in investing in property for healthcare real estate, HBRE is here to help. Our expertise and experience has helped healthcare businesses locate the perfect real estate for their specific needs. We are located in Nashville, but are a trusted partner across the United States, and we pride ourselves on being there for our clients every step of the way.
About HBRE
Headquartered in Nashville, Tennessee, HBRE is a full-service commercial real estate firm specializing in healthcare real estate. With over 50 years of combined industry experience serving 28 states across the U.S., we deliver exclusive healthcare solutions so you can provide the best patient care.
If you have any questions about leasing, buying, or selling a commercial property in Nashville or beyond, connect with our team today.
