Whether you have a new practice looking to lease or buy space or have an established practice looking to expand, finding the right medical real estate can be tough. How do you find the right property? And when you do, how do you negotiate a fair price? Should you buy or lease your medical space? Where do you even begin?
Commercial real estate is often the second-highest expense for healthcare providers, behind only payroll. So, it’s important to make sure you find a space that not only meets all of your physical needs – the perfect location, plenty of space, ample parking, building amenities, room for growth, etc. – but also comes in at the right price.
The Medical Real Estate Market in Maryland
With the COVID-19 pandemic still affecting medical practices across the state, and the rise in telehealth services as a result, many medical professionals are left wondering if this is the right time to invest in new office space. Well, according to the Washington Business Journal, “advances in telehealth will reinforce rather than replace on-site care.” There is still a need for well-located, long term healthcare real estate and, as a result, the medical real estate market in Maryland remains strong.
Types of Medical Real Estate to Consider
There are four primary types of commercial properties that fit the unique needs of medical professionals. Each property type has its own benefits, and understanding those will help you determine which best suits your practice.
- Office Buildings: Traditional office space provides a professional setting and is typically a cost-effective option for medical professionals.
- Retail Space: The primary benefit of retail space is visibility. Another benefit is parking. Retail space tends to have ample parking. Because of these benefits, retail space tends to be more expensive.
- Medical Office Buildings (MOBs): MOBs are dedicated exclusively to healthcare tenants, which can help create strong referral partners. MOBs tend to be more expensive than traditional office space, but offer several unique benefits for medical professionals.
- Hospital Campuses: Similar to MOBs, hospital campuses offer many of the same benefits. However, the biggest difference is affiliation with the hospital itself, which can help create a strong referral base.
At the end of the day, the cost of any space is dependent on several factors, including location and property age, as well as demand. A qualified commercial real estate broker can help you determine which property makes the most sense for your practice both now and in the future.
Why You Need a Commercial Real Estate Broker
The most common mistake people make when searching for a commercial property is failing to first establish a commercial real estate brokerage relationship. With so much on the line, you need an experienced advisor in your corner, and a commercial broker is a great resource to help you strategize and eventually execute your plan. A good broker knows the Maryland medical real estate market – the properties, landlords, buyers and sellers – and can help you not only find the right space, but also negotiate the best price. Partnering with a broker can help save you time, money, and plenty of headaches. Typical services include:
|Real Estate Market Analysis||Negotiation Strategy||Expansions & Relocations|
|Market Surveys||Lease and Purchase Negotiations||Strategic Planning|
|Site Selection||Lease Analysis||Space Planning|
|Purchase vs. Lease Comparison||Lease Renewal||And More!|
The Maryland Medical Real Estate Experts
United Development Realty is a Commercial Real Estate Broker in Maryland specializing in the representation of medical and dental professionals. We understand the medical real estate market inside and out and have access to comparable building sale databases and tools that track industry trends and property costs. Let us help you find the perfect space to grow your medical practice, and negotiate a price that makes sense for you.
Over the years, we’ve assisted hundreds of medical professionals and business owners, including MedStar, LabCorp, Union Memorial Hospital, Johns Hopkins, Constellation Energy, Northrop Grumman, Maryland State Dental Association, Chesapeake Pediatric Dental Group, and so many more.
At United Development Realty we take the time to get to know you, your vision, objectives, and goals. Then, once we fully understand your practice and its unique needs, we can assist you through a tailored package of services. Our client-first approach ensures that your unique needs are always met. We will help you find, negotiate, and lease or buy the commercial space that is right for your practice.
Please call our office (locations in Bethesda 240-221-1976 and Fells Point 410-522-1632) to get in touch with a licensed commercial real estate broker today. Let us focus on real estate, while you focus on your patients.
- “Is Health Care Real Estate Flatlining? Quite the Opposite.” Bizjournals.com, Washington Business Journal, www.bizjournals.com/washington/news/2020/10/14/is-health-care-real-estate-flatlining-quite-the-o.html.