CVS/Aetna: Evolution, Not Revolution

“Current CVS property owners should be on the alert,” writes Beck.

TULSA, OK—CVS Health Corp. recently announced that it intends to buy Aetna Inc. for just shy of $70 billion. This merger will combine one of the largest retail pharmacy companies in the U.S. with one of the most dominant players in the health insurance industry. This new marriage of healthcare services, products, providers, and insurers will undoubtedly change the way the healthcare industry works today.

But how will this merger impact commercial real estate? Will we slowly witness a natural evolution of the drugstore retail concept as consumers leverage the benefits of accessing combined services, and pharmacy tenants modify their stores accordingly? Or will we find ourselves thrust overnight into a retail revolution that completely alters the way we shop for healthcare products and access medical services?