Choosing to own or lease a property is a major concern for private practices, and more physicians are learning each day that investing in real estate is a smart move. Leasing offers the lowest initial occupancy cost and the least amount of capital risk for those seeking property. Healthcare’s move to retail has been a major topic in recent years due to its convenience and lease options. This switch to retail trend is increasing every year as physicians search for a way to combat expenses and increase the amount of patients walking through their door.
Today, real estate operating costs average out at 10% for a typical practice. However, physicians are continually worried about the rising cost of real estate and the availability of where to place their new practice. Retail centers are rising to meet the challenge of providing acceptable health care locations and meeting the needs of those in the area.