HEALTHCARE INFLUENCER: CBRE
CBRE Healthcare is a dedicated business group within CBRE focused exclusively on providing total life cycle real estate and facility solutions to the healthcare industry in the US.
CBRE HEALTHCARE | CBRE HEALTHCARE CAPITAL MARKETS
CBRE Healthcare is a dedicated business group within CBRE focused exclusively on providing total life cycle real estate and facility solutions to the healthcare industry in the US. The team of experts that make up CBRE Healthcare works with healthcare clients in a collaborative manner, delivering comprehensive and value-based solutions that span the entire life cycle of a real estate asset. The company’s comprehensive and integrated account management and capital markets solutions include project management, enterprise facilities management, advisory and transaction services, capital markets, valuation and management consulting.
With more than 3,450 experienced professionals, CBRE’s Healthcare Practice Group manages 100 hospitals and health systems that span 164 million-plus square feet in some 7,000 properties. Heading up those efforts are Mark Lamp (left), executive managing director, Global Workplace Solutions-Healthcare, and Steven Higgs, managing director, healthcare.
CBRE Healthcare includes more than 3,450 professionals with expertise spanning compliance, capital markets, facilities operations, advisory and transaction services and business analytics. The healthcare practice group manages 100 hospitals and health systems that span more than 164 million square feet in more than 7,000 properties, and include inpatient, outpatient, acute care, long-term care, ambulatory care, research and academic centers and medical office buildings. Overseeing these efforts are Mark Lamp, executive managing director, Global Workplace Solutions-Healthcare, and Steven Higgs, managing director, Healthcare.
As part of CBRE’s focus to help clients reduce occupancy costs and generate greater capital resources for clients, CBRE Healthcare recently issued a report highlighting how the $1 trillion of real estate owned by US hospitals can be managed to enable more efficient, patient-centric operations. The report notes that core hospitals (inpatient facilities) account for more than 42% of all healthcare real estate in the US and that outpatient facilities—many of which are hospital affiliated—account for another 27%. CBRE believes savings of 10% to 12% of total real estate costs may be achieved through outsourcing real estate services.
Within the firm’s investment properties division is CBRE Healthcare Capital Markets. The team, founded in 2006 by vice chairs Chris Bodnar and Lee Asher, has executed on more than $9 billion worth of assignments, involving over 500 healthcare facilities in 38 states. Among the group’s many contributions to the industry has been its ability to help transition the healthcare real estate sector from an “alternative asset class” to a mainstream product type.
What was once considered an opportunistic investment, the healthcare capital markets team has also provided countless white papers to the investment community demonstrating the stability of the healthcare real estate industry and why it should garner the attention of institutional investors.
Other key members of the team, which has executed on more than $9 billion worth of assignments since its inception, include (below, from left) SVP Shane Seitz and senior directors Ryan Lindsley and Sabrina Solomiany.
It began in 2011, when Bodnar left his home base in Denver to embark on a mission to spread the message of the asset class’ stability. He traveled the country for a year, meeting with some of the country’s top investors. Since then, institutional investors ranging from the Carlyle Group to Kayne Anderson have made meaningful allocations to the healthcare real estate sector, which have helped drive value for owners in the market.
In 2018, the team recruited Shane Seitz, a 20-year veteran in commercial real estate, as an SVP. Seitz had spent the previous 10 years with Ventas Inc., one of the largest publicly traded healthcare REITs in the US, where he was involved in the acquisition of medical office, life science, senior housing and hospital real estate within the US and the United Kingdom totaling valued in excess of $10 billion.
Rounding out the group are senior directors Ryan Lindsley and Sabrina Solomiany, who joined HCM in 2008 and 2014. Over the course of their careers, Lindsley and Solomiany respectively completed healthcare transactions totaling over 21 million square feet and $6 billion, and five million square feet and $1.3 billion.
The team has recently partnered with CBRE’s UK Healthcare Capital Markets professionals and seeks to further enhance the global capital markets connectivity of the healthcare real estate sector. All of this has served to further propel the healthcare real estate investment sector on the international stage. According to CBRE’s latest survey of commercial real estate investors across the Americas, the percentage of investors actively pursuing healthcare real estate properties nearly doubled from 2017 to 2018, with 24% of investors saying they were actively pursuing healthcare properties this year (vs. 13% in 2017).
The CBRE Healthcare Capital Markets team has also made a notable impact on the community outside of commercial real estate. Every year, the team identifies a new charity in which to give back, either monetarily or through time. These organizations include Craig Hospital, National Jewish Health, Children’s Hospital of Colorado, Habitat for Humanity and Project Angel Heart to name a few. In addition, the team has been involved in over many years with the Headstrong Project, a non-profit organization benefiting veterans struggling with mental health due to lack of access to care and inability to deal with psychological stress.