Whether you have medical experience or are just interested in investing in medical offices because they can make a great long-term investment, medical office properties can be a great addition to any commercial real estate portfolio. There are so many different types of medical properties that can be an asset—from small offices for private practice to large medical buildings or complexes.
No matter your real estate investment goals, medical properties available for sale are always in demand and will continue to be used no matter the current economic climate. Medicine is one of those recession-proof industries that will ride out even the hardest of times.
When searching for commercial real estate investment properties on the market, there can be a lot of factors to take into consideration. What do you want to do with it? What type of lease do you want to use? Is there a specific area you want to look at, or do you have more general guidelines of location? Are there certain businesses you want to work with? If you have settled on some sort of medical office, even if you have none of the other questions figured out yet, here are three tips to consider when investing in a medical office property for sale.
Three (3) Tips For Investing in Medical Office Properties For Sale
1. Figure Out What Type of Medical Provider You Want to Work With
If you know you want to lease out your medical office building to a dentist, great! You can look for a commercial real estate property already set up as a dental office. If you don’t have any specific type of medical provider you want to work with, that’s okay too. This opens you up to other properties available for sale so you can find one that fits your investing goals. If there are specific types of medical office buildings you have an interest in working with, consider these providers who may be searching for a new long-term lease in your target area. This can help you find the right fit for your investment portfolio and find a great tenant for the future of the space. Some of the most common medical properties for sale include:
- Urgent Care Clinics
- Medical Office
- Dental Office
- Veterinary Clinics
- Private Practices
- Chiropractic Centers
- Healthcare Plazas or Complexes
2. Consider the Size of the Building
If you are looking for a medical office for a single doctor or private practice, the building may not need to be very large. But if you are looking to invest in a building that can hold many doctors, different practices, or large medical groups, you will need to find a much larger building that can have a large waiting area, many rooms, and multiple private offices for each provider. The size of a potential parking lot is also to be considered, because staff like nurses, billing or insurance employees, and doctors need parking, but so do all the patients who will be coming for appointments each day. You may also have to consider if there is space to expand the parking lot if the current one is too small for that medical office.
3. Look at How Updated the Medical Facilities Are
Medicine has changed a lot over the years, and now patients and doctors alike have new expectations for the office. Technology has advanced, so is this building ready to accommodate that new medical tech? New X-ray machines, dental chairs, beds, and other equipment must both fit in the space and also have the appropriate technical support (like outlets, internet connection, etc.). After the COVID-19 pandemic, visitors are even more aware of cleanliness and have new standards that a medical office must meet. This means that updated HVAC systems that are efficient and help keep the air safe to breathe are essential for many medical properties and buildings.
Work With a Medical Real Estate Listings Expert
Don’t go it alone! Searching for the right medical property investment can be challenging and even overwhelming, especially if you have never invested in medical offices before. Investing in a medical office property or building can be a great long-term investing opportunity, because they are always needed. Small private practice offices with just a couple of patient rooms to large medical buildings where multiple doctors (maybe even multiple specialties) serve patients, need investors who can find properties that meet their needs, with plenty of space and adaptability for future medical advances. A real estate expert with experience in the healthcare market can help you find the perfect fit for your portfolio.
A triple net lease (or NNN lease) is a great option for medical properties and healthcare buildings. This type of lease wants long-term tenants, and that’s just what medical properties are. Doctors don’t want to move every couple of years (that would be a pain for patients!), so a NNN lease is a win-win for investors and medical practices. Get in touch today to learn about how NNN leases work for medical offices for sale and talk to a commercial real estate professional about current listings for sale you might want to add to your investment portfolio. Work with a trusted advisor at Sands Investment Group to find medical office listings by calling 844.4.SIG.NNN or sending us an email.