Archives for 2021

11 Leadership Lessons Learned from a Conversation with Terry Wood

July 26, 2021 by Kat Baxter

As part of the Revista’s commitment to the healthcare real estate industry, we are thrilled to introduce…THE RISING LEADERS COUNCIL (RLC).

Rising leaders around the country are applying for one of ten positions in the inaugural class now through September. One of the many great benefits will be interacting with and working on initiatives with Revista leadership like, Terry J. Wood, Vice President – Real Estate at Kaiser Permanent. RLC co-chair, Kathryn Baxter, Division President at Facility 360, recently interviewed Terry about leadership and here are some amazing highlights from their conversation:

2021 Transactions Off to a Quiet Start after 4Q Rush of Closings

May 18, 2021 by Hilda Martin

After finishing out 2020 with one of the strongest volume quarters in recent years, 2021 is off to a quiet start. $1.8B in MOB transactions closed in the first quarter, …

3Q21 MOB Transaction Sets Record High

November 29, 2021 by Mike Hargrave

Investors have been calling for increased transaction volumes within the MOB sector since the pandemic started to wane. If 3Q21 is any indication their calls have been right on the money.

7 New Hospitals Open in 3Q21

September 22, 2021 by Hilda Martin

Although hospital construction has certainly been affected by the pandemic, most of that impact has been on the expansion of existing hospitals, not the construction of brand new ones. As …

A record-setting MOB cap rate of 3% in the Bay Area

June 30, 2021 by John B. Mugford

A deal that recently took place in Burlingame, Calif., in the suburbs south of San Francisco, may have set an all-time cap rate record for an investment-grade MOB.

A tutorial on how to improve upon a record-low cap rate

November 29, 2021 by John B. Mugford

The MOB deal that took place in June 2021 at what many professionals in the MOB sales sector consider an all-time low cap rate is already turning out to be a good transaction for the buyer, according to an executive with one of the firms that acquired the facility in a joint venture partnership.

Biggest deal so far of 2021 started as a potential recapitalization

August 18, 2021 by John B. Mugford

Nuveen-NexCore acquire MOB/life science portfolio for $620.4M; price for the 27 MOBs was $463M

What started out as a potential recapitalization of a portion of IRA Capital’s healthcare real estate (HRE) portfolio turned into the biggest MOB deal to date in 2021.

Cornerstone, KKR form a new joint venture partnership

September 22, 2021 by John B. Mugford

For several years now, a number of large investors have entered the healthcare real estate (HRE) sector by partnering with longtime and successful HRE firms.

Despite COVID-19 Pandemic, Healthcare Construction Numbers Remain Strong

February 25, 2021 by John B. Mugford

Even though the professionals involved in MOBs correctly predicted that investor demand would remain strong for the product type during the COVID-19 pandemic, some involved in development expressed concern that construction numbers could fall as healthcare systems and providers would be forced to focus on a surge of patients instead of planning new projects.

Kaiser Remains on top of Largest Property Owners

January 28, 2021 by John B. Mugford

Once again, as has been the case for the last seven years, Oakland, Calif.-based Kaiser Permanente, the giant health insurance firm and healthcare services provider, remains the largest owner of real estate among healthcare-related entities in the United States.

Major California Metros Exhibit Strong MOB Fundamentals

June 30, 2021 by Mike Hargrave

In this post we are looking at 1Q21 Medical Office Building (MOB) performance for major metro areas located in California. Generally the California metros outperform the top 50 Metro benchmark …

Medical Office Sector Quarterly Data Brief

February 23, 2021 by Mike Hargrave

Revista has posted the 4Q20 MOB Sector Quarterly Brief. Available for a limited time this report provides an executive level overview of supply, demand and rent fundamentals for the aggregate …

MOB Cap Rates Continue to Impress

August 18, 2021 by Mike Hargrave

Cap rates for Medical Office Properties are continuing a trend of compressing during the past several years. Updated 2nd quarter, 2021 Revista data reveals the median MOB cap rate was 5.8%. This was down from 6% in 1Q21 and 6.3% one year ago.

MOB construction completions fall to multi-year low

May 17, 2021 by Mike Hargrave

MOB Construction Completions fall to Multi-Year Low Medical Office (MOB) construction completions, which were near peak levels just one year ago have fallen to multi-year lows as of the 1st …

MOB Construction Starts Strong Despite Rising Costs

June 24, 2021 by Hilda Martin

We\’ve all been hearing about the significant uptick in materials and labor costs associated with construction over the last number of months, particularly lumber which has been the focus of …

MOB Project Delays Temper Deliveries, Starts Steady

August 19, 2021 by Hilda Martin

MOB project completions continue to slow in 2Q, down to 17 million square feet in annual deliveries. This is the lowest pace of deliveries in the last 6 years and represents a 32% decrease from the annual run rate of 25.1 million SF in deliveries in 1Q2020- just before the onset of COVID and all the related shutdowns, restrictions and labor shortages.

MOB Rents: Does being close to a hospital matter?

August 6, 2021 by Stephen Lindsey

Are MOB rents significantly higher when in close proximity to a hospital? To isolate the effect a property’s distance from the nearest hospital has on rent, we looked at a dataset of MOB’s that are not affiliated with a hospital, nor directly on a hospital campus.

MOB sales slow down in Q1, but it’s still early for 2021

May 20, 2021 by John B. Mugford

It is probably safe to say that the volume of medical office building (MOB) salesin the COVID-19 pandemic-ridden year of 2020 exceeded people’s expectations. After a lackluster 2Q and 3Q, …

MOB Sales Were Strong in 3Q; Sector Continues to Perform Well

October 28, 2021 by John B. Mugford

During Revista’s recent 3Q webcast, Principal Mike Hargrave data showing that the volume in the third quarter was, preliminarily, $4.6 billion, the second highest quarterly total – behind the $4.9 billion of sales in Q2 2017 — since Revista began tracking such data in 2015.