Leasing vs. owning a medical office: an analytical model.
Physicians often face a major financial dilemma: To lease or own their medical office. This article takes a set of typical assumptions for a real estate market and analyzes the capital costs, cash flow, and investment implications of the option of leasing a medical office versus owning a similar property. The paper analyzes the financial aspects of each option and the impact on net physician income and potential return-on-investment. A model for analysis is presented that can be used by practitioners who advise physicians in such decision-making.
Tolbert
Samuel H
SH
Lander University, Greenwood, SC, USA.
Wood
Carol P
CP
D006268:Health Facilities; D007860:Leasing, Property; D018803:Models, Economic; D010067:Ownership; D010820:Physicians; D011216:Practice Management, Medical / Q000191:economics*