A little-known federal policy shift is about to push a wave of surgical procedures out of hospitals and into leased medical space — and real estate investors are taking notice.
Combined with a rapidly aging population, that shift is turning medical outpatient buildings (MOBs) from a niche alternative into one of commercial real estate’s best-performing property types. Occupancy sits above 92 percent. Cap rates are below 6.5 percent. And rent growth is outpacing anything the broader office sector can offer.
For investors, MOBs now deliver risk-adjusted yields that look far more like multifamily and industrial than general office. Sector transaction volume hit $6.7 billion in the first half of 2026, up roughly 21 percent from the same period a year earlier.
Two forces are driving that demand. The first is demographic: about 36 percent of Americans are now over age 50, a population of more than 125 million with growing medical needs. The second is regulatory. I
