Sunday, December 23rd, 2018 December23rd2018

Sell for More Trivia: What is the retail-ization of medical care?

Published on December 23rd, 2018

Beau Beach

Sell for More Trivia is a weekly blog series that playfully presents a trivia question about commercial real estate.


The “retail-ization” of medical care emphasizes reducing health care costs by keeping people out of hospitals.  As a result, medical providers are looking to treat consumers in geographically convenient outpatient settings, be it a Walmart or other shopping center storefront.  There are signs that large health care providers have shifted strategy, acknowledging that a big campus medical building isn’t the most cost-effective setting for a patient’s treatment. The new paradigm is that they should be off-campus and in the community.

And reflecting the evolving needs of Americans, more mental health facilities and drug rehabilitation centers are springing up and leasing space, partially driven by the opioid crisis sweeping the nation.

For example, a Walmart store is the home of the first mental health clinic that Beacon Health Options has opened in a retail store. Super stores like Walmart may provide the perfect setting for similar health care providers.  Beacon says it chose a retail setting because it offers the convenience of a neighborhood location that is easy to get to, and the evening hours accommodate their patients’ schedules.

Beacon has just 60 SF as well as use of a waiting room shared with a Walmart medical clinic.  They also believe providing therapy in a retail setting offers patients more privacy, ironically, than stepping into a therapist or psychiatrist’s office, which is clearly marked as such.

Retail settings may also be ideal for rehabilitation services for drugs such as alcohol and opioids.  Keep in mind, most traditional office landlords don’t want those types of businesses because of the traffic they generate.

It seems that retail settings may be less expensive for providers and more convenient for consumers.  It seems like common sense, and a benefit to society, to bring these mental health and drug rehabilitation services to where consumers already shop.  And of course we hope the providers will make more money for having done so.


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About Beau Beach, CCIM

Beau is a tenacious Commercial Real Estate Broker, author and adoring father of four. His clients appreciate his no-nonsense demeanor and his legendary work ethic.

Beau leads Prowess IRES which is a commercial real estate broker for sellers in the Nashville, Milwaukee, South Florida and Chicago markets.

He’s the author of the books The 3 Reasons: Why Most Commercial Properties Don’t Sell and True Wealth: What Every Seller Should Know About 1031 Exchanges.

Beau can be reached at 414.324.4938, 615.603.9770, click to schedule a call or