HREA 2023 Year In Review
In 2023, HREA’s team of professionals advised on the sale of 22 healthcare real estate assets throughout the U.S totaling $245 million in transaction volume.
The majority of the assets involved high-acuity mission-critical facilities, including ASCs, physician-owned hospitals, and medical office buildings.
With a primary focus in representing healthcare providers, HREA leverages its unique experience in the industry by navigating advanced transaction structures that are tailored to each client’s goals and objectives, including a variety of tax-deferred structures.
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2024 Outlook
Valuations for healthcare real estate continue to improve relative to other real estate classes with valuation multiples reaching 14x – 17x.
The Fed pausing interest rate hikes and signaling rate cuts on the horizon has had a positive impact on healthcare real estate values.
Medical real estate should continue to outperform other commercial assets with better underlying fundamentals, attracting more capital seeking stable risk-adjusted returns.
With transaction volume down in 2023 and interest rates cuts in sight, institutional investors are back in the market acquiring high-quality medical assets.