• Skip to main content
  • Skip to header right navigation
  • Skip to site footer
  • Blog
  • Free Resources
RevistaMed

RevistaMed

  • About
    • Meet Revista
    • Advisory Board
    • Partners
    • Press
    • Rising Leaders Council
    • Sponsorship
    • Contact Us
  • Events
    • 2026 Revista Medical Real Estate Investment Forum
    • Subscriber Webinar
  • Why Subscribe?
    • Schedule a Demo
    • Revista x Pivotal
    • Featured Products
    • Business Development
    • Underwriting & Due Diligence
    • Asset Management
    • Capital Markets
    • Site Selection & Development
    • Leasing
  • Subscriber Login
Home / Construction/Development / MOBs Can Weather a Storm

MOBs Can Weather a Storm

August 27, 2019 by Hilda Martin Topics: Construction/Development, Industry News, Leasing/Property Management, Mergers/Acquisitions, Policy/Legislation, Real Estate Financing/Capital Markets

In recent weeks we’ve seen significant volatility in the stock market along with increasing fears of a recession. After all, this is now the longest market expansion in history. It can’t continue forever, right? Consequently, we’ve had a number of inquiries here at Revista all centering around one question – how did MOBs handle the last recession? The tenants of medical office tend to be stickier than those of regular office, often signing leases for 10, 15 even 20 years with built in annual increases. Once they’ve established a patient base, they don’t want to leave it. Medical services are in many cases non discretionary, so the business of many physician practices will be less impacted by shifts in the overall market. This all suggests a certain level of immunity for the sector, and it’s all fine and dandy to speculate, but what does the data say? Revista collects data on the portfolios of some of the largest investors in the sector. This data goes back far enough to tell some of the story. Below is a chart from our Industry Fundamentals Report showing occupancy going back to early 2009 – never falling below 90%. For the broader office sector, vacancy peaked in 2010 at upwards of 17% (83% occupancy), a time when medical office was rebounding after a much a smaller dip. This history of resilience is very appealing to investors, both locally and overseas, and is part of the reason there has been so much interest in the sector. Subscribe to Revista to get more insight on the past and keep up with new developing trends!

Represents roughly 150 million square feet of investor owned MOBs.
Hilda Martin
Hilda Martin

Other Articles by Hilda Martin:

    • Hospital Performance Impacts Outpatient Occupancy & Rent
    • MOB On Campus or Community Based? Opinions Differ by Owner Type.
    • New Reports Available – Pivotal x Revista

Previous Post:Despite What Seems to be a Slowdown in MOB Offerings, Montecito Medical Real Estate is on Pace to Invest $900 Million in 2019
Next Post:The Most Active MOB Metros 3Q18-2Q19

Sidebar

Topics

  • Construction/Development
  • Industry News
  • Leasing/Property Management
  • Mergers/Acquisitions
  • Policy/Legislation
  • Real Estate Financing/Capital Markets
  • Revista Best Practices
  • Revista News
  • Sponsor Spotlight
  • Transactions
  • Uncategorized

Archives

RSS Recent Blog Posts

  • Rehabilitation hospital construction showing signs of rising in 2025 July 29, 2025
    While outpatient construction has slowed down inpatient construction is holding steady to rising.  As you may know, Revista tracks inpatient general acute care hospitals, behavioral health hospitals, and inpatient rehabilitation hospitals (IRFs).  Within the IRF sector, Revista currently tracks over 500 rehabilitation hospitals in the US.  The sector has seen tremendous growth since 2014 growing […]
    Mike Hargrave
  • Hospital Performance Impacts Outpatient Occupancy & Rent July 29, 2025
    With the passing of the One Big Beautiful Bill, many hospitals across the country will be facing additional financial pressures in coming years. Millions of people are estimated to lose … The post Hospital Performance Impacts Outpatient Occupancy & Rent appeared first on RevistaMed.
    Hilda Martin
  • Medical Space in the Most Populous Metros June 30, 2025
    Nearly 70% of the medical office space in the US is located within the top 100 metro areas. The New York metro area alone makes up close to 5% of the national total. Urban areas contain the bulk of the population and medical space, but . . . The post Medical Space in the Most […]
    Stephen Lindsey
  • Revista Releases the 2025 Top Owners of Medical Real Estate Report June 24, 2025
    Revista has updated and released to subscribers the 2025 Top Medical Real Estate Owners Report. The 2025 Top Medical Real Estate Owners Report provides summary and detail analysis on the 50 US largest owners of medical real estate. The post Revista Releases the 2025 Top Owners of Medical Real Estate Report appeared first on RevistaMed.
    Mike Hargrave

Other Free Resources

Industry Directory

Search for and/or list your medical real estate services in Revista’s medical real estate directory.

Reports & White Papers

Download free reports & white papers on medical real estate.

Add Lease/Sale Listing

Revista provides free lease/sale listings for healthcare real estate.

Ready to Schedule a Demo?

Get in Touch Now
  • Why Subscribe?
  • Events
  • The MOB Scene
  • Add A Directory Listing
  • Add Lease/Sale Listing
  • Contact Us
  • Sponsorship
  • About
  • Data Terms of Use
  • Sponsorship Terms
  • Press

SIGN UP FOR MOB SCENE NEWSLETTER

  • Twitter
  • Facebook
  • LinkedIn