- The Senate passed President Trump’s “One Big Beautiful Bill,” and by the time this newsletter is published, the bill is expected to have made its way through the House. The current version of the bill, if passed, would cut roughly $1.1 trillion in health-care spending over the next decade, according to the nonpartisan Congressional Budget Office. The spending cuts are expected to have a significant impact on the bottom line of hospitals and health care systems.
- State lawmakers are targeting health care real estate investment trusts (REITs) by proposing legislation that restricts sale-leaseback transactions and provides more oversight on transactions involving hospital and health care real estate. Despite several bills failing to gain support, Connecticut, Louisiana and Pennsylvania have pending legislation on this topic. Massachusetts and New Mexico have already passed legislation restricting transactions with health care REITs.
- The top five owners of medical real estate, according to a new Revista report, are: 1) Kaiser Permanente; 2) Welltower; 3) Ventas; 4) HCA Healthcare; and 5) CommonSpirit Health.
- Hospital construction costs are on the rise. According to new data, costs have increased by around 20% over the past five years. Today, it costs on average, $451 per sf to build new hospital space.
- Hall Render published an article on a new Texas law that limits non-compete agreements with health care providers, and an article on a new Oregon law restricting private equity transactions in the state.
- Banner Health plans to double in size over the next decade by expanding services, geographic reach and forming new partnerships like those with MD Anderson Cancer Center and VillageMD. CEO Amy Perry said, “There’s no border on our potential” as the system invests in infrastructure and technology to meet growing community needs.
- Dana-Farber Cancer Institute has received final approval to begin construction on a $1.7 billion, 14-story, 300-bed cancer hospital in Boston, MA. The project will be completed in partnership with Beth Israel Deaconess Medical Center. The 450K-sf facility will be the region’s only free-standing cancer hospital.
- Memorial Healthcare System (FL) announced a $670M expansion of its hospital in Hollywood, FL. The project will create 21 new operating rooms, 150 acuity-adaptable patient beds, a new CT suite and a new satellite pharmacy.
- A $200M mixed-use development in Gretna, Nebraska, will feature a 125K-sf Nebraska Medicine health center. The project will also include housing, retail, office space and green space.
- Illinois officials have voted to approve Advocate Health Care’s $320M, 40-bed Advocate Trinity Hospital replacement project in Chicago. This project is part of a broader $1B investment to expand health care access on the South Side of Chicago.
For questions or additional information, please contact:
- Andrew Dick at adick@hallrender.com or (317) 977-1491;
- Joel Swider at jswider@hallrender.com or (317) 429-3638; or
- Your primary Hall Render contact.
Hall Render blog posts and articles are intended for informational purposes only. For ethical reasons, Hall Render attorneys cannot give legal advice outside of an attorney-client relationship.
