As healthcare real estate moves away from hospitals as the place of healthcare delivery, it is moving toward ambulatory facilities, Stephen Jones, chairman/CEO of California builder Snyder Langston, said in an article on GlobeSt.com. This shift is creating new product types within the commercial real estate industry.
According to Jones, there is currently a significant shift in the business model of healthcare delivery as employers demand better value and health plans and providers respond.
“This manifests itself in tiered narrow networks of providers (reducing choices and lowing costs), but more importantly, there is a shift away from payments for services performed to payment for value,” he said in the article.
In the pay-for-value world, a basic tenet is to provide the right care, at the right place, at the right time and in right place.
"The ‘right place’ is increasingly not in the acute hospital setting, but in one of many types of ambulatory facilities,” Jones said in the article.
Read the article.
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