Healthcare Still a Real Estate Star

Updated on March 27, 2013

Came across this great article on healthcare construction from the Alter Group recently. Here’s an excerpt:

“No question – 2012 was the year of healthcare. In one of the most significant rulings in recent memory (perhaps since the awarding of the Presidency to George W. Bush in 2000), the Supreme Court upheld President Obama’s health care law in a nuanced interpretation of Federal versus states’ rights. This will go down in the history books as comparable to the passage of Medicare in 1965 because the historic 5-4 decision will affect the way 30 million uninsured Americans receive and pay for their personal medical care. And it has guaranteed that medical will remain one of the leading sectors of real estate: the national vacancy rate for medical office buildings is currently 10.9 percent, much lower than the 12.5 rate for the office sector as a whole. Approximately $5 billion of healthcare property traded in 2012, and that figure should rise by 10 percent in 2013.”

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