John Thomas, president and CEO of Physicians Realty Trust (NYSE: DOC), participated in a video interview at Nareit’s REITworld: 2018 Annual Conference in San Francisco.
Thomas noted that the underlying fundamentals of health care and the outpatient medical business “continue to be very strong and very viable in this economy.” He added that the asset class is looking at an 8 percent growth per year tailwind.
Public and private investors are paying increased attention to the “very stable asset class” of medical office, Thomas said. He added that although Physicians Realty focuses on newer, bigger buildings leased long term to health systems, it’s still important to keep assets current and fresh.
Looking to 2019, Thomas said he anticipates “plenty of opportunity.”
“Right now, the public markets don’t favor us, but our underlying business is so strong. We think that will improve and open the door back up to some good external growth,” he said.