This is an excellent article on the Strength of the Medical Office Market in the US. According to a new research report from M&M on the medical office sector, by mid-year the overall rate hit 8.2%, a 10 bp increase since mid-2017. Nearly every major region saw an increase in vacancy, with the exception of the Mountain region, where vacancy plummeted 60 bps year-over-year to 11.1%.

Once considered something of an afterthought by institutional investors, medical office has rapidly established itself as one of the most desirable sectors. And with so many favorable trends, including the aging of the US population and the desire among patients to see medical professionals in new facilities close to home, experts say new construction should continue proceeding at a healthy clip. For most kinds of commercial real estate, a rapid expansion is usually taken as a sign that a more cautious approach may be needed, at least from an investment standpoint. But medical office will probably escape that trap…