Why Not All Medical Tenants Are Created Equal
- Shane Lovelady

- Aug 27, 2025
- 1 min read
On the surface, two medical tenants can look nearly identical. Both sign long leases, both pay market rent, and both operate in growing markets. But when you look closer, the reality can be very different.
One group might rely heavily on a single referral source, leaving them vulnerable if that relationship changes. Another may be tied to a regional health system with diverse patient access and strong reimbursement stability. Both tenants may fill space, yet the long term value they bring to a property is not the same.
This is where medical real estate can be misleading. Occupancy reports and lease terms are just the starting point. The real story comes from understanding the strength of the operators behind those leases, the payer mix driving their revenue, and the competition around them.
That is the work I do every day in the valuation space. My focus is providing market intelligence that cuts through the surface numbers and shows the true durability of a property. Whether it is an investor weighing a purchase, a lender underwriting a deal, or an operator planning expansion, the insight comes from knowing not just who is in the building, but how stable they really are.
The truth is simple. Not all tenants are created equal, and the difference between stability and risk can only be seen when you dig deeper than the rent roll.
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