MOBs Continue Record-Setting Pace

CHICAGO—After a record-setting pace for medical office building and portfolio sales in 2012, investors have shown no sign of slowing down their purchases in the sector, according to recent research conducted by Jones Lang LaSalle’s Healthcare Capital Markets. In fact, JLL predicts that year-end 2013 volumes for sales should meet or exceed 2012 levels. More than 120 medical office building properties valued in excess of $1.8 billion were sold in the first half of 2013,  while seven portfolios have been on the market or closed with a total estimated value of $1.7 billion, researchers found.

“Investor appetite and sentiment for this asset class of choice remain as strong as it has been since the start of 2012,” says Mindy Berman, managing director of JLL’s Healthcare Capital Markets group. “While straight year-over-year comparisons show a slight decrease in volume, market characteristics are unchanged. Medical office remains one of the most sought-after product types.”