HOUSTON – Significant population growth and home building in Houston suburbs have fueled a surge in construction of medical facilities in outlying areas, according to a report by CBRE Research.
“As landlocked hospitals in the Texas Medical Center continue to expand in an effort to serve a geographically multiplying metro region, all of the major hospital systems are targeting the outlying Houston suburbs for new medical campuses. Combined, this growth represents an enormous capital investment of approximately $5 billion into the Houston economic engine,” CBRE Research said in a recent report on the medical sector.
Among the new Houston-area projects are four suburban medical projects by Memorial Hermann in Katy, Pearland, Sugar Land and Cypress. Methodist has new buildings in The Woodlands and Sugar Land and additional new suburban facilities are being added by Texas Children’s Hospital, MD Anderson Cancer Center and CHI St. Luke’s.
Medical office buildings for leasing to physician groups and professional care tenants are also being constructed in Houston suburbs.
Between 2010 and 2015, Houston’s far outlying suburbs, including Cinco Ranch, Fort Bend County and Cypress/Fairfield registered a 14 percent gain in population, CBRE Research reported. The medical construction boom is a response to the suburban population growth.
Construction is also strong in the Texas Medical Center, which serves millions of patients annually at its Inner Loop campus near Main Street and Rice University.
“The Texas Medical Center (TMC) in Houston is a primary contributor to the regional and state economy, providing more than $14 billion annually in Lone Star economic impact,” the CBRE report said. “In addition to the balance sheet tangibles, the TMC positions Houston as one of the world leaders in healthcare, pharmaceuticals, education and biosciences R&D for innovation and advancement in the life sciences.”
March 23, 2016