The healthcare industry is undergoing a significant change as hospital systems are decentralizing services and moving care closer to the communities they serve. Instead of requiring patients to travel to large campuses, many are increasingly investing in ambulatory care centers, urgent care clinics, diagnostic imaging facilities, and other specialty services located in medical office buildings (MOBs) and even retail centers.
For property owners and managers, this shift presents both opportunities and challenges. As outpatient care spaces grow in prominence, the way these properties are designed, leased, and managed will need to evolve in alignment.
Flexible Design and Leasing Needs
One of the most important considerations for healthcare property management is flexibility. Outpatient care tenants often require specialized build-outs that differ significantly from traditional office or retail uses. Floor plans may need to accommodate exam rooms, diagnostic equipment, or private consultation areas. Parking ratios may need to increase to account for higher patient turnover. Leases must also include provisions that anticipate these needs, allowing for adaptability as medical practices expand or change services.
Medical tenants bring unique requirements when it comes to infrastructure. Outpatient facilities often require:
- Enhanced electrical capacity to support specialized equipment.
- Advanced HVAC systems to ensure air quality and infection control.
- Ongoing maintenance programs tailored to sensitive medical technology.
Additionally, practices that rely heavily on digital imaging, telehealth, or other technology-driven services will have heightened power and cybersecurity needs. Property managers must work closely with tenants to understand these requirements upfront, ensuring both patient safety and regulatory compliance.
Patient and Tenant Experience
Unlike traditional office tenants, medical practices serve both providers and patients. This means the property manager’s role extends beyond operational efficiency to include enhancing the patient experience. Factors such as lighting, signage, safety, ingress and egress, and parking all influence how patients perceive their care.
In fact, studies show that a poorly designed facility can negatively impact patients’ health outcomes and inhibit the tenant’s success in the space.
This shift requires a more hospitality-driven approach to property management. By considering how each element of the building contributes to a positive patient journey, management companies can better support their healthcare tenants while creating long-term value for property owners.
Financial and Risk Considerations
The financial implications of hosting outpatient care facilities in commercial assets are significant. Specialized build-outs, higher operating expenses, and technology upgrades all impact the bottom line. Property managers must work proactively with owners and tenants to establish rental rates and tenant improvement allowances that align with the true cost of operating a medical facility.
There is also a broader risk management component. Outpatient healthcare facilities carry unique physical risks, such as increased liability around patient safety, as well as cybersecurity risks related to the protection of sensitive patient data under HIPAA regulations. Both must be carefully evaluated and addressed during lease negotiations and ongoing operations.
A New Era for Healthcare Real Estate Management
As healthcare delivery continues to move into community-based outpatient settings, property managers and owners must adapt to meet evolving needs.
Ultimately, the future of outpatient care spaces is about more than just location — it’s about creating environments that support efficient operations, patient comfort, and sustainable asset value. For property managers, embracing this shift represents an opportunity to play a critical role in shaping the next chapter of healthcare real estate.
Tim Allison
Jordan Selbiger
Shawn Janus
