The Shift In Medical Office Building Sales: A New Era For Sellers

The first quarter of 2025 marked a significant downturn in the sales of medical office buildings (MOBs), reaching the lowest levels in a decade.

Industry experts attribute this lull to a period of uncertainty, where potential sellers hesitated, awaiting clearer economic signals.

Factors contributing to this hesitation included the anticipation of interest rate cuts by the Federal Reserve, the conclusion of the presidential election, and the subsequent inauguration of President Donald Trump. Sellers sought to understand the new administration’s policies and their potential impact on the market.

However, as these uncertainties have begun to resolve, there is a noticeable shift. Professionals in the field report an uptick in market activity, with more properties being listed for sale in recent months. This change suggests that the period of waiting is concluding, and sellers are now more confident in moving forward with transactions.

This evolving landscape presents opportunities for both buyers and sellers in the MOB sector, indicating a potential return to a more active and dynamic market.

Source: HREI