From Malls to Medicine

Real Estate attorney Steven Kirkham wrote an article for Southeast Real Estate Business exploring the trend of "medtail," or healthcare in retail centers. An estimated 20 percent of leased retail space is now dedicated to medical operations, up from 16 percent in 2010, showcasing how healthcare providers are increasingly turning to shopping centers as places to call home. As Mr. Kirkham explains, urgent care centers, dental and orthodontic practices and dermatology clinics are among the types of healthcare tenants that are a good fit for retail slots, given the size and layout of storefronts along with extensive parking options. However, hurdles such as governance documents imposing restrictions on healthcare and medical use, determining parking allocations, special disposal needs for biomedical waste and regulatory considerations make leasing to a healthcare entity more nuanced than a traditional retail lease. In his article, Mr. Kirkham reviews these considerations while underscoring that the challenges remain surmountable and medtail will continue to gain steam to meet consumer demand.

READ: From Malls to Medicine