The medical office building market is trending towards fewer yet individually larger private equity deals according to analysis by commercial real estate group Avison Young, published by Commercial Search Feb. 27.
Here are five takeaways from the analysis:
1. While both non-healthcare and medical office sectors overall saw a decline in deliveries in 2025, medical outpatient deliveries declined only marginally, by 5.3%
2. The medical outpatient rental rate grew 6.2% from 2023 to 2025, compared to -3.4% growth in non-healthcare office buildings.
3. MOB markets “vary wildly” across geography. Among the 50 markets evaluated in the report, New York City tops the inventory ranking with about 77.3 million square feet. New Orleans is the smallest with 4.3 million square feet.
4. Miami led deliveries in the second half of 2025, with 471,000 square feet of MOB space.
5. Memphis was the most active metropolitan area for MOB space under development, at 1.2 million square feet.
