Finding the right site – be it a leasable space or a building, or even an empty parcel of land can greatly affect the trajectory of your practice’s success. Think of it as not just a place to locate but an environment that will cascade into a wider series that will affect the quality of life for you and your patients. It can set off a satisfying work environment, and opportunities to deliver quality care, and put you and your practice in the best light to your patients as a place to return to and even recommend to others.
Medical Interior Design is important but locating that design in a place that will draw the desired clients and more so sustain it is a function of a calculated and successful site selection process. It starts long before you visit a potential property, it starts with planning but ultimately, it’s about clarity. We list below the steps of how you go about seeking the right space for your practice and how expert professional help will work wonders for you.
Identify your target market
When we mentioned clarity before, it will be most helpful if you are already full-formed in your concept before seeking out a space. This includes knowing who your target market is, who your target demographics are, basically information of who your ideal patient is. A deeper dive into your target market can already spell out what factors in a location may already present themselves like possible competition, supporting facilities that may drive in your patients, and the type of neighborhoods you see your practice to be. If knowledge is power, then data gathering is a great way to ensure that you are acting upon solid information, to empower you to plan and expect realistic results.
Identify the right size
Sizing your space is a key exercise in space planning and Simour Design follows a formula to ensure that your space is designed to support the success of your practice. Allotting 70% for revenue-generating activities puts your office in a great place to achieve your business goals. Having this knowledge, it is also important to know what is the right size for your practice. It largely depends on the scale you’re trying to provide and the forecast you have set for how your business will expand eventually. As to how it affects site selection, you wouldn’t want to lease or purchase a space that you will outgrow within a year in a ten-year lease. That’s just poor planning. Identify what you need today and how you want to grow so you can find a space that can accommodate your business’ current and future self.
Always evaluate multiple properties
Knowing the right size for your medical office is the next step and the most instructive in terms of what real estate options are available for you in the market.
Leasing office space in a building is a common route that can be done in a multi-tenant facility and a Medical Office Building alongside other medical practitioners. Retail spaces or stand-alone facilities can present a great opportunity that works for offices of a certain scale. Every option has its pros and cons and we encourage you to come in with an open mind. Never close yourself or be set on an option before examining them all. Evaluate each option because they all offer specific benefits and disadvantages and it’s up to you to gauge them to better suit your needs.
Purchase or Lease?
It depends. Purchases always entail a sizable investment and it must be weighed against a lease arrangement considering every financial factor. It’s not cut and dry, and it will all boil down to your capacity to either pay the rent or pay a mortgage. They both have pros and cons which a skilled medical real estate broker can evaluate and explain to you. The biggest pro to purchasing however is that it is an actual investment. It has the opportunity for you to build wealth and accrue value over time. Ultimately, it’s a question of price and what works for your bottom line.
When zeroing in on potential sites, never finalize negotiations with only one. Do 2 or 3 simultaneously because negotiations can bring out so much more offerings that can tip the scales to any one site. Factors like TI allowance, rental holidays during fit-out, and opening can become bargaining chips to work with on the negotiation table.
On that note, it might be intuitive to take matters into your own hands and scour the market yourself, but believe us when we tell you that having a medical real estate broker is the way to go. First, they know what is available in your market – that seriously beats driving around aimlessly. Second, knowing makes them the best representation you can have in the negotiating table. Your inexperience can make you susceptible to bad deals with sneaky landlords and that is not good. And lastly, it will not cost you directly as it’s the landlords or the sellers that pay up for the brokerage services.
To work at a world-class level is getting the right people on your team to save you time, money, and energy. Finding that spot to build your medical office can be made more efficient, practical, and even economical when you engage with experts. It is in your best interest to work with a professional who knows the real estate industry, has familiarity with the market, and who will represent your best interest when finalizing a deal.
Learn more about finding the right (world-class) space for your practice, on our ON-DEMAND WEBINAR with Simour Design’s Founder & CEO Mitra Silva, and CARR’s CEO, Colin Carr. Sign up now (click here).