Our main form of communication is language. It influences perceptions of reality, thoughts, ideas, and feelings. So it should be no surprise that it can be extremely powerful when used correctly. When it comes to the terminology used in healthcare real estate, you may come across terms such as hospitality, lease, lessee, mortgage, NNN, medical office property, etc.
You can save time and hard-earned money if you have a basic knowledge of the terminology used in healthcare real estate.
Medical or Healthcare Real Estate
Healthcare property is any building that serves as a nursing home, acute care hospital, rehabilitation hospital, assisted living facility, adult group living facility, personal care facility, or medical office building. Any of the above facilities may include independent living units as a component of their overall structure.
Medical Real Estate Glossary— Healthcare Real Estate Terminology
1. Physician Mortgage
A physician mortgage, or a “doctor” mortgage, is a unique loan program that allows lenders to target high-income medical professionals by enabling them to obtain a mortgage with a lower limit than a traditional mortgage. Provides to people with Ready to woo consumers.
2. NNN Lease
One of the most typical lease forms in commercial real estate is the NNN or triple net lease. A triple net lease is a contract for the rental of property in which the tenant or lessee agrees to cover all costs associated with the property, such as maintenance, real estate taxes, and building insurance. Compare the NNN Vs FSG Lease.
3. Lessee
A lessee is a party who, through a lease, has an interest in the lessee’s asset temporarily. If the asset is real estate, the lessor is called the lessor. Lessee and Lessor both are different term, know the difference Lessee vs Lessor.
4. Rentable Square Footage
Rentable Square Footage or RSF is the sum of usable square footage plus the tenant’s pro-rata share of the common area of the building, including such things as lobbies, common hallways, restrooms, utility closets, fire-sprinkler rooms, etc. RSF is the area for which the tenants pay the rent.
5. Usable Square Footage
The total usable floor area of a room or building is measured in usable square footage or USF. Measured from their outer or outer surfaces to the center of any exterior walls and windows and any interior walls adjacent to other rooms, hallways, or common areas.
Read More: Rentable Area Vs Usable Area
6. Shell Space
A room or level inside a building that consists only of a floor, walls, windows, and ceiling is called a “shell area.” Additionally, it may include some basic electrical, plumbing, and HVAC. An example of what shell space often looks like in a new development.
7. Healthcare Provider
A licensed healthcare provider provides services to qualifying individuals, including home health, hospice, mental health, primary care, specialist care, durable medical equipment, pharmacy care, or hospitalization.
8. Healthcare Professional
A healthcare professional is called a person who practices medicine, dentistry, pharmacy, or nursing or works in a related field and may prescribe, purchase, purchase, supply, or administer pharmaceuticals.
9. Healthcare Services
Health services include all inpatient, outpatient, ambulatory surgery and radiology services, and professional (i.e., doctors or other licensed medical services provided by professionals) services, to the extent provided by the respondent and within the scope of the services covered by the insurance policy. The term “health care” does not refer to the administration of patient care, such as through population health initiatives or workplace wellness initiatives.
10. Healthcare
Healthcare share refers to a unit issued by Healthcare that represents a general unsecured promise by Healthcare to deliver a share of Healthcare common stock. The units were issued under the Healthcare Equity Plan as part of an adjustment to the Tyco Performance Share Units in connection with the Healthcare Distribution. Electronics refers to a unit issued by Electronics that represents a general unsecured promise by Electronics to deliver a portion of Electronics Common Stock when it is immediately preceded by “Electronics.”
11. Real Estate Business
The term “real estate business” refers to operations related to real estates, such as the supply of mortgage financing or title insurance, home building, housing construction, and real estate development or construction.
12. LLC
LLC means Limited Liability Company.
13. Limited Partnership
Limited partnership refers to a limited partnership formed or registered by the laws in the US or any other country.
14. Medical Office Property
Medical office property refers to any property renovated with buildings or structures used primarily as office space, including those that are part of mixed-use projects.
15. Hospitality
Hospitality refers to the attentive care of guests. It includes refreshments, accommodation, and entertainment at a restaurant, hotel, club, resort, convention, concert, sporting event, or other venues.
16. Limited liability partnership or “LLP” shall
LLP or Limited liability partnership is a Company governed by the Limited Liability Partnership Act 2008.
17. Healthcare Provider
A person or health facility qualified under Oregon law to provide health care in the regular business or the exercise of a profession is referred to as a “health care provider.”
18. Healthcare Facility
Any area of the Project permitted to receive insured mortgage financing under Section 232 of the Revised National Housing Act as a nursing home, intermediate care facility, board and care home, assisted living facility, or any other health facility is used. “health care facility,” including any attached commercial space.
19. Health care Professional
A physician or other healthcare practitioner licensed, accredited, or authorized by state law to provide a specific healthcare category is called a “health care professional.”
20. Psychiatric Hospital
A hospital that meets all of the following criteria and is legally constituted, licensed, and operated as a hospital is a “psychiatric hospital.”
21. HealthCare
Care services, services, or supplies related to a person’s health are called health care. The following are some examples of health care: Doctor care, Nursing care, Physical, occupational, and speech therapy, Medical social services, and basic assistance care.
22. Rehabilitation Hospital
An institution primarily provides medical and rehabilitation services to sick or injured people is called a rehabilitation hospital.
23. Real Estate
Real Estate includes all leases, all leases, tenancies, and possession of all land, all easements, rights of way, and equitable rights owned by any Loan Party, as well as all buildings, structures, parking lots, and other improvements thereon.
24. Health care Practitioner
A healthcare practitioner is a person who is a patient’s primary healthcare provider and is licensed to practice medicine and surgery or osteopathic medicine and surgery under Iowa Code Chapter 148. A physician assistant or a certified advanced registered nurse practitioner licensed under Iowa Code Chapter 148C is not considered a “health care practitioner” under Iowa Code Chapters 152 or 152E.
