Unique Issues and Pitfalls in Medical Office Leasing

The tremendous growth that the Denver metro area and the Front Range have experienced in recent years have driven increased demand on all types of real estate, including the need for medical office space. Accordingly, there has been an increase in the volume of leasing to medical office users who have come to Denver, not only due to increased demand, but also in search of skilled labor that Denver has been successful in attracting. Indeed, medical office users can now be found with increasing frequency in retail centers and general office developments, as opposed to the more traditional medical office buildings that are specifically designed and operated with medical office users in mind. This article will touch on a few of the most important issues that landlords must be aware of and address when entering into leases with such users, especially if the landlord’s property is not specifically designed and operated as an MOB.

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