Unlike traditional office buildings struggling from remote work trends, medical outpatient facilities remain essential due to their in-person service requirements and specialized infrastructure, according to Nuveen, in its recent report.
These properties demand unique features such as advanced plumbing, electrical systems, and biohazard management, making them difficult to convert for other uses. As a result, medical outpatient buildings have seen strong performance, with vacancy rates dropping to 7.4 percent compared to 13.9 percent in traditional offices, reflecting record-high occupancy and consistent demand growth. This success is fueled by rising healthcare spending, an aging population that spends significantly more on medical care, and a broader shift toward cost-efficient outpatient services.
To read the full report, click here.
