In December of the year 2019, a new strain of the Corona Virus emerged. Severe Acute Respiratory Syndrome Corona Virus 2, commonly referred to as COVID-19, took the whole world sneakily. At first, it was not taken seriously but during the first quarter of 2020, the whole world suddenly felt its quick and fatal effect on society.
At first, every single business got severely affected. The healthcare real estate industry undoubtedly had an interesting year in 2020. Because of the pandemic, the entire healthcare sector was, and still is, under a lot of stress.
The year 2020 really placed the world under a lot of pressure and fear, but the healthcare sector made sure to take good care of us all.
Now that the whole world is trying to get back up on its feet, it needs a little help from the healthcare industry to put their hearts at ease. Due to this situation, there are new healthcare real estate trends that are slowly emerging.
For the year 2021, here are the 5 trends that will change the healthcare real estate industry for the better.
Utilization of Telehealth
Because of the pandemic, Teletech will be used more for 2021. Telehealth is a new form of delivering healthcare, health information, and health education with the use of remote technologies. Smartphones and laptops are the most common mediums where Teletech is utilized.
Because people are still advised to minimize their contact with others, a lot of people choose to stay at home as often as they could.
With this, legislation was actually altered so that the country will shift abruptly to telehealth. This caused the health systems across the state to adapt their business models accordingly.
But just because Telehealth will become a huge part of the healthcare sector in 2021 and the coming years does not mean that it will replace the utilization of the traditional hospital appointment.
In 2021, healthcare real estate will have to adjust their building spaces. For example, they might want to reduce the waiting area and make the treatment area wider.
Telehealth actually aims to:
- Make healthcare more accessible and attainable mostly to people who reside in isolated or rural areas.
- Ensure that people gain access to healthcare with utmost convenience, especially those with limited mobility, transportation, or time options.
- Further improve the coordination, communication, and healthcare provision between healthcare physicians and their patients as well as physicians with their colleagues.
- Make self-managed healthcare more possible for people who prefer to stay at home.
Even though there was a high rise of patients that medical facilities received in 2020 due to COVID-19, some healthcare facilities were not able to open up their business for a long period of time. Because of this, owners of healthcare real estate need to be creative in terms of looking for financial gains.
Because of the pandemic, the interest rates for medical commercial spaces will be significantly lower throughout 2021. But what is sale-leasebacks all about?
A sale-leaseback is a type of transaction that enables the original owner of a commercial space to sell their asset to a buyer who will let them lease their property until they fully-pay the price that they have agreed on.
This transaction gives the original owner the chance to raise a capital. With this, the owner will have immediate money which can be used for various reasons regarding the business as well as the asset that they need to operate their healthcare business.
Property Sanitation and Maintenance
This is probably the most important trend that will drive the healthcare real estate industry forward to a better future.
First of all, property sanitation is important not only in the healthcare sector; every commercial space should be properly sanitized especially now that the world is battling with a virus. Together with this, property maintenance is also one of the top priorities that owners need to accomplish this year.
It is important for healthcare real estate owners to foresee the future of their commercial space. Every inch of their asset has to be spotless – employees, counters, patients, floors, elevators, interior furnishings, and other parts of the space have to be cleaned at all times.
Truth be told, property sanitation and management are probably some of the most essential areas that healthcare real estate owners must invest in.
IN 2021, there are some challenges that the healthcare real estate industry will face. However, the trend of properly caring for their assets’ proper sanitation and maintenance will take a lot of load off the backs of the owners.
The world is constantly evolving and innovation is one of the best ways of evolving. In the medical field, newly improved and created diagnostic and testing tools are being developed at a rapid rate. And with the emergence of the COVID-19, a lot of healthcare facilities opted to switch to using these new technologies.
Because of this shift, health systems are now challenged to re-evaluate the assets that they currently have and to ensure that they have enough space to accommodate new ones.
Value-based healthcare is a specific form of healthcare delivery system that refers to the situation wherein healthcare providers such as physicians are compensated based on the outcome of their patients’ health.
Under this agreement, healthcare providers are given incentives and rewards that will motivate them to continue performing great in terms of improving the health of their patients.
It will result in the natural movement towards lower-priced facilities that aim to provide patients with preventive care.
Each of the 5 trends aims to encourage and improve divestment within healthcare real estate ventures. They also provide assistance and reason for the improvement of existing commercial spaces in order to cater to patients on a deeper level.
Alongside these trends for the improvement of the healthcare sector, the healthcare real estate industry will change as well. It will undergo several shifts, but the result will be worth it.
Overall, healthcare real estate will change – for the better in the year 2021.