At Breakwater Exchange, we view medical office buildings (MOBs) as one of the most resilient commercial real estate sectors. From specialty clinics to full-service health centers, MOBs provide the physical infrastructure for essential care that cannot be outsourced or paused. These properties are tied to long-term leases, high-credit tenants, and steady patient traffic. Understanding the distinctions between each class helps investors align with the right opportunity:
These are new or recently developed buildings of the highest quality, located adjacent to major hospitals. Typically managed by healthcare REITs, they attract institutional tenants and offer long-term lease stability.
These well-maintained mid-rise buildings are often located near hospital campuses and owned by physicians or private investors. Class B MOBs offer flexibility and reliable tenant occupancy at more accessible investment levels.
Custom-built for single or group practices, these properties are often owner-occupied or closely managed. Stand-alone MOBs allow for specialized tenant use and long-term relationship-driven leasing strategies.
Medical office real estate offers a unique blend of durability, demand, and diversification. Here are three key reasons why Breakwater Exchange recommends this asset class to our investors.
Yes. Breakwater Exchange regularly helps investors exchange into MOBs using traditional DSTs, direct title solutions, or cash out DSTs, each structured for IRS compliance and income preservation.
Many leases range from 7 to 15 years due to customized build-outs. Breakwater Exchange sources properties with long-term agreements and stable tenant profiles to match your risk tolerance.
Absolutely. Through Breakwater Exchange’s sponsor network and platform, we can structure diversified portfolios of MOBs within a single exchange, tailored to geography, specialty, or lease structure.
