While clients are still willing to look for new space and sign a lease, the process has changed. There are more negotiations and lenders have gotten more involved. "Lenders are now involved with the leasing decisions as well as each lease is reviewed by personnel higher up in the provider's organization," says Isola. "We have not seen any significant change in rental rates, nor an increase in sublease medical office space availability. We have, however, on a case-by-case basis seen an increase in landlord concessions being offered in order to preserve building occupancy. For the occupier clients that are seeking shorter-term transactions, we experienced more flexibility by landlords and a willingness to work collaboratively—again, seemingly with a focus on preserving occupancy."

Landlords are remaining flexible to the changes, but many aren't willing to make extra expenditures for tenants. While concessions have increased, free rent has become the most common concession. "Now the landlords are willing to offer more free rent in lieu of tenant improvements," says Isola. "Although many of these landlords are well financed they are keeping their cash, which is understandable. We've also noticed an increase in the pursuit of healthcare tenants by retail landlords. Pre-COVID, many of the retail spaces that were being marketed toward healthcare were predominantly secondary or tertiary locations. Today, landlords of many prime retail locations are realizing that healthcare tenants may be the answer."