Investor Presentation - Medical Office Sector
MEDICAL OFFICE: HEALTHCARE TAILWINDS
Demographics Drive Increased Healthcare
Utilization
Aging demographics boost healthcare spending
10,000 people turning 65 every day (4x as many
physician visits as younger population)
Millennials are forming families, a key inflection
point for healthcare volumes
Average lifespan will surpass 80 by 2020
DEMOGRAPHICS SUPPORT INCREASED HEALTHCARE SPENDING
(MILLENNIAL AND BOOMER LIFE MILESTONES WILL POSITIVELY IMPACT HEALTHCARE DEMAND)
25
Millennials
88.9M
23
21
20.6
19
17
15
13
11
9
7
Gen X
61.4M
Boomers
81.9M
22.9
22.9
22.5
22.5
22.2
20.6
20.6
20.2
20.2
17.0
12.7
15-19 20-24 25-29 30-34 35-39 40-44 145-49 50-54 155-59 60-64 65-69 70-74
Silents
33.4M
12.2
8.5
75-79
80+
$1,103
$2,659
$4,033
$4,497
$4,958
$5,956
Average Annual Healthcare Spending Per Person
Source: U.S. Bureau of Labor Statistics
Healthcare is Moving Outpatient
Focus on Cost-Effective Care - Private Insurers &
Government Providers
Outpatient Procedures are Cost Effective - Visits
are Increasing
Health Systems & Providers Focused on
Convenience - Serving Patients Where They Are
Medical Office is Primary Beneficiary of this trend
INPATIENT
150
145
140
135
130
125
120
115
110
105
100
OUTPATIENT VISITS ARE INCREASING OVERTIME
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
I 666T
$5,708
OUTPATIENT
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
Inpatient Admissions/1000 Persons
Source: American Hospital Association
Investor Presentation | January 2018
Outpatient Visits/1000 Persons
2,200
2,000
1,800
1,600
1,400
1,200
1,000
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