Over 16 Million Square Feet of MOB Space Scheduled to Complete in 2015
Revista has recently released mid-year 2015 construction reports. A national report is available for purchase while subscribers have additional access to the top 50 metros report, and 8 region reports. Each report is roughly 8 pages, in PDF format, and provides a thorough overview of medical office (MOB) and hospital construction activity.
One of the key tables in the report brings a very interesting insight. That is there are over 16 million square feet (SF) of MOB space scheduled to complete in 2015. This comprises over 280 MOB properties and over $6.6 Billion of construction value. The report also provides information on median SF per project and median construction value per project.
The expected completions are generally evenly spread out and ranges between 4.2 and 4.6 million SF for the next several quarters (see chart below). Revista began tracking construction in 2014 and by our accounts the 16+ million SF represents a sizeable increase over the previous year. However, in terms of inventory growth, the 16+ million SF represents just 1.4% of the 2014 MOB inventory. Revista will provide updated numbers on this topic at the upcoming 2015 Medical Real Estate Investment Forum.