Anjana D. Patel, Member of the Firm in the Health Care & Life Sciences practice, in firm’s the Newark office, authored an article in Medical Economics, titled “Physician Practice Transactions with Private Equity: Don’t Forget About the Real Estate!”
Following is an excerpt:
The number of physician practices transacting with private equity in recent years has increased year-over-year in the last five years, with 2021 being on record as the year with the highest number of deals in this sector. Low interest rates and high valuations drove many physician groups to sell their medical practices, often with very little consideration about the real estate that the practices are located in, much of which is also owned by the physicians. This article explains why physician practices that are contemplating a transaction with private equity should pay special attention to the real estate assets and not only the medical practice assets.
