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Creative leasing strategies for medical office buildings.

The financing and ownership of medical office buildings have changed along with their design and function. Once merely a convenience for the medical staff, medical office buildings are becoming an increasingly important part of a hospital's marketing and financial strategies. Understanding the economic evolution of these buildings will help hospital financial managers approach their development in a manner that will meet the needs of the future.

Financial Management, Hospital↗

Hospitals should finance medical office buildings.

After the decision to build a medical office building on the hospital campus has been made, a new set of considerations must come to the fore. Although the best decision may be for the hospital to undertake financing of the building, this decision must be made in light of a number of important financial and legal considerations.

Certificate of Need↗

Financing medical office buildings.

This article discusses financing medical office buildings. In particular, financing and ownership options from a not-for-profit health care system perspective are reviewed, including use of tax-exempt debt, taxable debt, limited partnerships, sale, and real estate investment trusts (REITs).

Accounting↗

Medical office buildings--the challenges and the rewards.

Hospitals considering the development of on-campus medical office complexes may find the process challenging and costly. But when developed and leased appropriately, medical office complexes can provide significant benefits to hospitals. Leasing on-campus medical office space to physicians serves to improve relationships with the physician community, and thereby can increase hospital utilization and revenue. The expanded facilities also allow the hospital to offer a greater scope of medical services to the local community. Authors Sands and Rendina examine the advantages of participation in medical office building development.

Economics, Medical↗

Hospital-based medical office buildings: report of a national study.

In recent years, many hospitals have developed campus-based medical office buildings (MOBs) as a means of providing physicians with proximal office space and increasing patient days through a more committed medical staff. A nationwide survey was conducted among 1,252 non-government, not-for-profit hospitals with 200 or more beds to understand both the significant factors associated with their development and their overall characteristics. Among the 686 hospitals which responded to the survey, the significant determinants of MOBs were medical school affiliation, religious affiliation/ownership, and location in the western part of the country. Three hundred eleven hospitals reported that they had (or were currently constructing) MOBs; they were most often owned directly by the hospital, housed 30% of the active medical staff, operated at capacity, and made a small profit for the hospital.

Data Collection↗