by Brianna Crandall — October 22, 2014—A new white paper written and released by independent health care real estate advisory firm Realty Trust Group (RTG) explores the issues surrounding healthcare real estate optimization and provides a framework for health systems to assess their abilities to mine cost savings opportunities and create value in their real estate portfolios.
Changes in the healthcare industry have dictated that hospitals and health systems determine ways of reducing costs, but in doing so, they often overlook their real estate portfolios and the potential savings that lie within, according to the new white paper. RTG says that finding and achieving cost savings in healthcare operations and programs has become critical to maintaining competitiveness.
Titled Healthcare Real Estate Optimization—Generating Cost Savings and Creating Value in a Changing Industry Landscape, the white paper explains how many of the practical, fundamental real estate optimization applications used in other industries can be employed by healthcare organizations as well. These methods and strategies can create value and improve efficiencies, says RTG. Further, they can help health systems mitigate legal and regulatory risk.
The paper offers six major areas for which appropriate data collection and/or data analysis is required in order to assess opportunities for creating value. It also takes a look at three facilities management models often used by health systems and stresses the importance of choosing the right optimization strategy for your organization.
According to the white paper, “The potential economic benefits, along with addressing possible risks of existing, potentially damaging, compliance outcomes, should provide the underlying motivations for health systems to pursue a real estate optimization strategy.”
Since 1998, health care real estate advisory firm Realty Trust Group (RTG) has assisted hospitals, health systems, and physician groups, as well as other owners, users, and investors of healthcare real estate by providing innovative solutions to complex and challenging real estate issues. The firm’s offerings include portfolio optimization and monetization, project development services, strategic facility planning, property management, and fair market value opinions. RTG is an affiliate company of national healthcare consulting firm Pershing Yoakley & Associates (PYA).
