IRVINE, CA—Flexibility, efficiency and visibility are the crucial elements tenants seek in healthcare real estate, PM Realty Group's SVP healthcare services Eileen Doody tells GlobeSt.com. The firm recently represented landlord FarWest Industries in the signing of two leases at 1401 Dove St., a six-story, class-A office building in Newport Beach, CA, with Unitek Information Systems, a provider of post-secondary healthcare education and short-term EMT and IT training; and Practical Dental Solutions, an information-technology company for the dental industry. We spoke exclusively with Doody about healthcare tenants and their significance in the Orange County market.

GlobeSt.com: Are healthcare tenants becoming a more prevalent sector of the Orange County market?

Doody: Healthcare tenants are more visible now than ever. There is a competitive race to capture prime demographic communities and drive these patients back to a specific hospital, medical group or health system for their medical care. Health systems are counting on the fact that the more comfortable patients are with their local provider, the more this will ultimately keep them in the system to which their primary care is affiliated. The gateway to this strategy is the ever-popular urgent-care center.

GlobeSt.com: What do these tenants have in common, and what is driving them to this market?

Doody: Medical tenants prefer newer buildings now since consumers will be making decisions on their healthcare providers, so image, convenience, ease of parking and overall design will factor into their strategy. Ease of access of the patients is of utmost concern. Parking is a key component, and each site must have ample patient parking.

GlobeSt.com: What type of space are these tenants seeking and in which submarkets of Orange County?

Doody: All submarkets are key in Orange County. Medical space is a specialized version of office space, and the key factors medical tenants are looking for fall into these three categories: flexibility, efficiency and visibility. Regarding flexibility, can the space accommodate larger medical groups and be flexible enough for redesign if needed in the future? For efficiency, will the space plan and building systems be able to handle multiple specialties with efficient floorplates and clean-energy systems? For visibility, they prefer to be on the corner of Main and Main, retail signage is a plus, and we will see more medical care being delivered in retail settings. This concept goes back to the ease of access for the consumer and capturing patients' loyalty. Younger moms want convenience and quick turnaround for non-threatening symptoms such as earaches and sore throats. Retail settings close to their homes get them in and out faster and back to their daily routines.

GlobeSt.com: What else should our readers know about the new crop of healthcare tenants?

Doody: Real estate owners should work with brokers that specialize in medical real estate so they don't waste time and energy with deals that never go forward. Healthcare tenants today are more sophisticated and strategy oriented. Consumerism and marketing will play a key role in their success. Owners also need to have a long-term view on this new crop of medical tenants since their return on investment will be taxed upfront by improvement costs, but in the end they will have loyal long-term tenancy with higher returns forecast.