John Thomas, president & CEO of Physicians Realty Trust (NYSE: DOC), participated in a video interview at Nareit’s REITweek: 2023 Investor Conference, held in New York June 6-8.
Thomas said that outpatient medical businesses can help lower the cost of health care by lowering energy and water utilization.
“The things we can do, the little things—light bulbs, better management system…newer HVAC equipment—if we can lower that cost, we’re lowering the cost of health care to society,” Thomas said. “And ultimately, we get a little more rent out of that. So our shareholders win, our physicians win, society wins.”
Thomas said that reflecting on the sector at midyear, the health care economy and the demand for outpatient medical services both continue to grow.
“We have 300 outpatient medical facilities across the country [and] they’re all full and active and busy,” he said.
Looking ahead to some top priorities, Thomas said that Physicians Realty Trust just completed a new refinancing of a 5-year term loan, so in the short-term, the REIT is looking to preserve its capital.
“We believe there’s going to be a lot of growth opportunities for us in ’24 and ’25,” he added.