OrbVest, a global real estate company that invests in US income producing medical office buildings has seen a surge of interest from affluent Israelis and other foreign investors seeking US-dollar denominated investments in a strong first-world economy.
Why Healthcare Real Estate
Medical office buildings in the United States proved their resilience during the global health crisis, with occupancy rates, rent growth, and new construction remaining very strong compared to other real estate sectors, like retail and commercial office space, which struggled mightily during the pandemic. In many ways, COVID-19 underscored a growing need for diverse, specialized, affordable, and convenient access to healthcare.
Other powerful forces are also contributing to a bullish outlook on healthcare real estate.
The United States is graying and living longer. These demographics are driving demand for healthcare and medical facilities. The number of Americans aged 65 and older is expected to double over the next 40 years and reach 80 million by 2040. Adults aged 85 and older may quadruple by 2040 as technological advancements, medical breakthroughs, and improving healthcare are extending lifespans.
“The age group of 65 years and older continues to grow and older populations visit medical practitioners 5 to 6 times more often than younger age groups,” says Martin Freeman, CEO of OrbVest, “healthcare real estate should grow as demand for life science facilities, medical offices, and senior housing increases.”
Another tailwind for growth is the shift away from traditional hospitals into outpatient and specialized facilities. This trend will create significant demand and profitable future opportunities for healthcare commercial real estate.
OrbVest, on behalf of limited partner investors from over 20 countries around the globe, including Israel has been able to acquire profitable, professionally-managed medical office buildings in fast-growing cities across the United States.
Within seven years, OrbVest has assembled a portfolio of over 1.4 million square feet representing over $360 million real estate under management (REUM) with a 65% re-investment rate. OrbVest is actively pursuing additional medical office building investments across the United States to provide enhanced diversification for its investors and reduce concentration risk.
OrbVest’s goal is to make investing in global real estate simple for qualified small and large investors who are able to invest from as little as $10,000. Clients use a convenient online platform to invest directly into low risk healthcare commercial real estate.
The investments generate regular dividends that are distributed on a quarterly basis creating annuity income and long-term wealth over the period of investment. Typically, assets are held for five years producing additional capital gains for the investors in addition to dividend income.
OrbVest has been rapidly growing its portfolio of high-quality investment properties over the past several months and has a steady pipeline of attractive new investments.
Fleming Island, in Jacksonville, Florida is OrbVest’s fourth acquisition since the start of 2021. Earlier this year OrbVest closed on its third property in Princeton, New Jersey, a medical and office building comprising 40,028 square feet of rentable space; Talavi Spectrum, a 74,662-square-foot, multi-tenant office building in Phoenix, Arizona, OrbVest’s second property in greater Phoenix metro area; and a 11,852-square-foot Great Expressions Dental Centers office situated on 1.15 acres in Fayetteville, Georgia.
Why Invest Now
“Israeli investors see U.S. real estate as a hedge against the shekel and a way to diversify their investments with tangible, alternative assets that have a long-standing track record of outperformance,” says Liron Mazor, OrbVest Israel partner and founder of Greengrass Wealth Management, “we believe investors should seriously consider opportunities in healthcare real estate, as it has proven its resilience before and during the global pandemic, and is well-positioned for long-term capital appreciation.”
For qualified international investors seeking diversification and US dollar denominated investment returns in professionally-managed, high-yield medical real estate, OrbVest represents an outstanding opportunity.