According to CBRE’s H1-2023 Portland Medical Office Trends showing an overall vacancy rate in the Portland medical office market stands at 4.9%, 30 basis points below the 10-year average.

At H1 2023, the medical office market continues to experience robust demand, with healthcare tenants committed to their leases and locations. While the flight-to-quality trend is dominant in the traditional office market as employers and tenants seek our new space in amenity-rich and updated properties, relocating within the medical office market poses significant financial and construction challenges.

Practices and providers are closely tied to their location and are hesitant to move more than two miles away due to negatively impacting or potentially losing their patient base. Overall, sales momentum slowed, totaling $16 million in sales volume, down from $91 million in H1 2022.