Asset & Property Management
2014 Healthcare Development Conditions Look Very Positive for West Coast
Posted March 31, 2014
I had the pleasure to represent NexCore Group as a panelist in an energetic healthcare development discussion at the Interface Healthcare Real Estate Conference in Los Angeles on March 18th. Thanks to my fellow panelists Neil Carolan, Jake Rohe, John Marshall, and David Weite for providing their input on the current healthcare development market conditions.
All panelists expressed optimism toward current west coast development market conditions. Signs, such as the release of more RFPs and large tenant users seeking office space, are very positive indicators for a successful year in 2014.
While optimistic on medical office development, there was a general consensus among the panelists that, due to lower margins on ground-up development, developers are looking to diversify their portfolios with product types beyond the traditional medical office building. Products such as senior housing, skilled nursing, and post-acute care were mentioned as areas of interest. As we progress through 2014 and into 2015, it will be interesting to see which alternative products healthcare real estate companies begin to develop with more frequency.
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