For the first time, our partner Revista, has released the top 50 Owners Medical Real Estate Report that features Not for Profit Hospital/health systems (Non-profit), For Profit hospital/health systems (For-profit) and healthcare focused real estate investment trusts (REIT’s) that make available year-end balance sheets. Data was measured on a gross basis with depreciation backed out.
Key Highlights of the report include:
- The top 50 owners of medical real estate owned $355.6 Billion worth of real at the end of 2016.
- The top owners grew their real estate holdings by 5.8% from year end 2015 when it was $336.2B.
- Kaiser Foundation hospitals was the largest owner of medical real estate at year end 2016 with $35.6B in gross real estate assets.
- Of the 50 largest owners, Physicians Realty Trust grew its medical real estate portfolio the fastest in 2016, up 78.5% from $1.6B in 2015.
- Of the 50 largest owners, BJC Healthcare had the highest construction as a percent of overall real estate assets in 2016. BJC had $.08B in construction as of year-end 2016, which equaled 26.1% of its $3.11B in gross real estate assets.
Overall, non-profit hospitals owned most of the real estate holdings at 54.4%, with REIT’s coming in second at 31.8%. Since 2013, REIT’s have grown their assets by 35% and non-profit hospitals by 19%. This makes REIT’s the fastest growing medical real estate ownership group over the past 5 years.
Zeustra has represented many of the top owners on the list as it works on their behalf to optimize the size and quality of their real estate portfolios. Our professionals provide geographical intelligence, site selection due diligence, strategic planning, and transaction management on behalf of clients. We partner with Revista to track and analyze market trends, while creating opportunities around key data points.
Zeustra continues to grow its real estate advisory platform and Revista has played an instrumental role in this growth. We will continue to provide our clients with the most relevant and up-to-date data and analytics so that they can make informed decisions that support their financial and operational performance goals.