Healthcare Real Estate Insights, Part 3
The business of healthcare has been disrupted by the confluence of decreased patient demand resulting from the transformation from fee-for-service to value, emphasis on wellness and prevention, higher out-of-pocket obligations, and the increasing sophistication and demands of the consumer. Concierge medicine, virtual care, and retail health are now common approaches within the industry’s lexicon.
Providers are responding to disruption by consolidating, restructuring, and optimizing their asset portfolios. During 2018, we see the following market dynamics continuing:
Patients, payers, physicians’ preferences for outpatient care, and increasing competition will require providers to think differently about where, what, how, and with whom they locate their physical assets.”
Managing Director, Navigant Healthcare Real Estate Group
The key to success for real estate asset optimization is integrating the strategy, real estate, facilities, operations, physician, and financial considerations into the planning and development process.