What to Watch in Medical Real Estate This Week

This week opens with two clock-ticking storylines that touch nearly every corner of medical real estate. First is Medicare telehealth. Core flexibilities that let patients receive many services from home are set to lapse at the end of Monday, September 30, unless Congress moves. CMS guidance laid out those temporary allowances and the dates they were tied to, and HHS has been signaling the same timeline for months. There is also a delayed in-person requirement for certain behavioral health telehealth through January 1, 2026, which is relevant for outpatient psych and substance use footprints. If lawmakers push an extension across the finish line, virtual care volume and hybrid clinic models keep their tailwind. If they do not, expect operators to shift scheduling, staffing, and space plans quickly, with ripple effects for small-format clinics that lean on virtual visits. 

The second storyline is federal funding. The fiscal year ends Monday night. Party leaders are back at the table, and a shutdown is possible if a deal or short extension does not land in time. Hospitals and medical groups will still see Medicare claims paid, but agency slowdowns and policy delays can create friction for surveys, approvals, and certain grants. For real estate, the practical takeaway is caution around timing. Anything that relies on a federal touchpoint may move slower, and that can nudge closings or tenant improvements off their original track. 

While those two deadlines dominate the week, the calendar also brings useful signal. MGMA’s Leaders Conference runs in Orlando from Sunday through Wednesday, and it always surfaces where medical group operators are steering next quarter’s budgets. Session chatter on access, staffing, and ambulatory growth often foreshadows leasing and expansion moves. On the data side, Civitas Networks for Health convenes in Anaheim from Sunday through Tuesday, and that meeting tends to showcase how health information exchanges and payers are wiring markets together. Better data sharing and referral visibility change where clinics perform best, which in turn guides site selection and buildout strategy. 

Keep one eye on hospital real estate stories tied to distressed operators. In Connecticut, bidders circling Prospect Medical’s hospitals are weighing rent obligations to Medical Properties Trust. Lease terms, state posture, and any near-term announcements could influence how lenders and investors price risk on hospital-anchored assets this fall. Even if you do not touch acute care, sentiment from these situations can bleed into credit views for specialty facilities. 

Put it together and the playbook for the week is simple. Confirm your telehealth exposure property by property. If an extension passes, you can underwrite this revenue line with more confidence into 2026. If it does not, revisit scheduling assumptions, throughput, and space utilization with your operators and adjust timelines for any near-term clinic openings. Track signals from MGMA and Civitas for where groups are pushing growth next. And stay nimble on deal timing while Washington sorts out funding.

If you want a quick read on how these moving parts change value in your market, I am happy to dig in with you.

📅 Book a call: https://calendly.com/contact-loveladyperspective/15min

📬 Subscribe to the weekly newsletter: https://www.loveladyperspective.com/contact