2021 End of Year Report | Healthcare

 

In 2021, healthcare real estate made a name for itself and entered the ranks as a popular investment product type. The reasons for this asset class’s increased desirability are partly attributed to COVID-19, demographic trends, and 2020 performance. Apart from the temporary pause in elective surgeries and other voluntary healthcare services during the height of the pandemic, healthcare real estate became recognized as a pandemic-resilient, internet-resilient, and recession-resilient product type. As such, investors began trading out of more challenged asset classes, like retail and office, in favor of medical facilities. Both private and institutional capital have entered the space due to the sector’s solid performance metrics, long-term stability, and healthy appreciation. Healthcare real estate is looking stronger than ever and is poised for growth in 2022.