Cash is anticipated to maintain flowing into healthcare actual property this yr because the sector attracts continued interest from buyers.
Roughly $25 billion of capital is anticipated to be allotted in the direction of healthcare actual property this yr, in accordance with a CBRE report. That will mark a significant enhance from 2021, when transaction quantity within the sector was just below $16 billion.
Consumers are planning to flood the market this yr to benefit from the booming sector. Amongst respondents, 84 p.c indicated plans to be internet consumers out there in 2022, in comparison with solely 14 p.c with plans to be internet sellers.
Medical workplace buildings have been of most curiosity to respondents, with 99 p.c saying the property kind met their acquisition standards. The most important rise from the earlier yr was for ambulatory surgical procedure facilities, that are up 17 p.c from 2021.
The steadiness of the healthcare actual property business is driving the curiosity of buyers. Virtually each respondent to a survey by CBRE indicated occupancy of their portfolio both stayed the identical or rose year-over-year in 2021. Solely six p.c of respondents cited a extreme influence from COVID-19 in 2020.
Traders, in the meantime, are feeling more and more assured within the recession resistance of the healthcare actual property business, as 85 p.c of respondents believed the sector will climate a downturn properly — up 5 proportion factors from final yr.
“Well being care and life sciences have been traditionally proof against financial downturns and proceed to be seen as a protected haven for actual property buyers throughout instances of financial misery,” Chris Bodnar, CBRE’s co-head of healthcare and life sciences capital markets, mentioned according to the Commercial Observer.
The report additionally touched on the booming life sciences sector, noting enterprise capital funding hit a report $32.5 billion in 2021. It’s anticipated to be one other huge yr for all times sciences in 2022.
CBRE surveyed healthcare REITs, non-public buyers, institutional buyers and healthcare actual property builders.
The energy of the healthcare actual property sector has created some main gamers within the discipline. Earlier this yr, Healthcare Belief of America agreed to merge with Healthcare Realty Belief after advanced talks in February. As of these talks, the businesses mixed market worth can be greater than $11 billion.