The COVID-19 pandemic's initial surge in telehealth usage is waning as patients increasingly prefer in-person doctor visits, according to data from the Center for Telehealth and e-Health Law (CTeL). This trend, marked by an estimated annual loss of 12 million virtual appointments, highlights the critical role of physical medical practices and the urgent need for medical office space in urban areas.
Kurt Hackett of Rethink Capital points to the Medical Pavilion at 939 Ellis Street in San Francisco as a model for meeting this demand. Its location in the city's healthcare corridor and design tailored to modern clinical needs make it a sought-after option for healthcare providers expanding their physical presence.
Factors fueling the return to in-person care include telehealth's clinical limitations for certain conditions, shifts in insurance reimbursement policies, digital fatigue, and the value of direct patient-provider interactions. These dynamics are influencing investment in the medical real estate sector, with a focus on facilities that align with current care standards.
As the healthcare industry adjusts, properties like the Medical Pavilion are set to fulfill the need for accessible, high-quality medical office space, marking a shift towards a care delivery model that values both innovation and the benefits of face-to-face healthcare services.
