Medical Outpatient Sector Positions Itself As Resilient Real Estate Performer

While many traditional office buildings continue to struggle amid the rise of remote work, medical outpatient facilities remain indispensable thanks to their in-person service requirements and specialized infrastructure, according to a recent report from Nuveen.

These properties require complex features—such as advanced plumbing, electrical systems, and biohazard controls—that make them difficult to repurpose for other uses. As a result, the sector has demonstrated strong performance, with vacancy rates falling to 7.4% compared to 13.9% in traditional office spaces, marking record-high occupancy and steady demand growth.

This resilience is driven by several factors: rising healthcare expenditures, an aging population that consumes more medical services, and a broader industry shift toward cost-effective outpatient care.

Click here to read the full report.

Source: IREI