According to Cushman & Wakefield’s Healthcare Report 2026, healthcare properties have established themselves as one of the most structurally attractive asset classes in Germany. This development is based on stable, largely recession-proof returns over long periods, leading to increased allocation relevance for institutional investors.
Demographic change, the increase in disease burden and care dependency, as well as political directives such as 'outpatient before inpatient care', are significant drivers of this development. Areas such as nursing homes, assisted living facilities, medical care centres (MVZ), and preventive and rehabilitation facilities consequently generate long-term returns. Jan-Bastian Knod, Head of Healthcare Advisory at Cushman & Wakefield, emphasises that healthcare properties are among the most structurally attractive segments, as demand grows independently of economic cycles. He further explains that properties in this category have evolved from a niche product into a strategic core component of institutional portfolios.
Challenges and Opportunities in the Investment Market
The investment market for healthcare properties is characterised by a structural shortage, which is met by simultaneously rising demand from institutional investors. In this environment, forward deals, project developments and joint venture structures are gaining importance, as they allow early market access. Low new construction activity in recent years, due in part to high construction costs, exacerbates the supply shortage. This has a stabilising effect on yields and increases the attractiveness of existing property investments.
In the outpatient care sector, the significant growth of medical care centres leads to larger organisational units. This reduces operational risks and enables economies of scale. For potential investors, this results in increased attractiveness due to longer lease agreements, improved tenant solvency, and lower volatility. Preventive and rehabilitation facilities combine high demand with attractive returns and can complement classic care investments. The political will for 'rehabilitation before retirement' also has a positive effect here.
- —Supply shortage as a yield driver due to low new construction activity and increasing demand.
- —Structural change in outpatient care through MVZ growth with longer lease agreements and higher tenant solvency.
- —Preventive and rehabilitation facilities offer high demand and attractive returns, complemented by political support.
- —Consolidation potential in the nursing and assisted living sectors offers opportunities for private equity and strategic buyers.
MVZ as an Example of Market Dynamics
Outpatient medical care, particularly medical care centres, shows strongly positive development. The number of MVZs has more than doubled since 2014 to almost 5,100 facilities in 2024. After a decline in 2023 and 2024, transaction volumes in 2026 are again showing a clear upward trend. After six months of 2026, the transaction volume already stood at EUR 356 million, surpassing the total volumes of 2023, 2024 and 2025.
Jan-Bastian Knod observes that, in addition to traditional core investors, increasingly specialised healthcare funds are aligning their strategies with MVZs. They benefit from the political guideline 'outpatient before inpatient care' and the growing specialisation of medical services. For investors, this manifests in a market segment with high rental stability, long-term contracts, and secured demand. Knod adds that the reported transaction volume only partially reflects the real market dynamics, as the main impediment to higher activity is not a lack of demand, but a structurally scarce supply. Given the demand overhang and increasing capital pressure on the investor side, a significant expansion of transaction activity is to be expected in the medium term, including through project developments, forward deals, and the conversion of existing properties into medical care centres.
