29 May Healthcare Real Estate Moves To Non-Traditional Settings
A hospital-centric system has dominated US healthcare for generations, but demographic change, technology advances and shifting consumer preferences have started pulling that system apart. Furthermore, an aging population has placed new demands on healthcare providers, who face pressures to expand care, control costs and ease access to services.
That’s a tall series of orders to fulfill. But healthcare providers of all sizes have responded to the challenge and now use real estate to serve patients more efficiently and effectively, according to a new study on the sector by Chicago-based JLL.
“Real estate is a key lever to capture demand in the war for patients,” JLL says. “The manifold benefits of more diverse offerings for care are fueling a swell in off-campus locations that, together with future-friendly healthcare delivery, help boost revenue and trim costs.”
Healthcare is no longer an afterthought in the world of commercial real estate. JLL points out that it has become the fastest growing sector in the US economy. Spending jumped 33% since 2000 alone and now accounts for 17.9% of GDP. And through 2025, company experts forecast that spending will grow by another 5% or more annually. That spending growth has fueled a surge in healthcare employment, now growing faster than any other sector in the US workforce. It now comprises 12.2% of the nation’s workforce, and over the next decade will grow another 18%…