Healthcare systems that lease medical space face many hurdles as landlords, including arcane real estate arrangements and complicated regulatory issues, according to an article on the Health Facilities Management website.
Among the legal and contractual issues that medical landlords should consider are:
• There are laws that place specific limitations on the manner in which hospitals may lease space to physician tenants
• The Affordable Care Act requires greater efficiencies in the health care sector. Relocating physician tenants in nontraditional ways will continue to challenge health facility managers.
• Office-sharing arrangements are more convenient for physicians and for consumers. However, the regulatory hurdles for time-shares and subleases are formidable.
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