Glossary

Off-Campus Medical Office Building (MOB)

Also known as: off-campus MOB, suburban medical office, MOB

A medical office building located away from a hospital campus, typically in a suburban or retail-adjacent location chosen for patient convenience and population access rather than hospital proximity, generally trading at a wider cap rate than comparable on-campus product.

Off-campus MOBs have grown substantially as health systems pursue an ambulatory, 'care closer to home' strategy, pushing primary care, urgent care, imaging, and outpatient surgery into neighborhood locations, but this same locational flexibility means off-campus assets face more direct exposure to broader commercial real estate risks (retail competition for sites, less captive tenant demand, weaker locational moat) than on-campus assets, even when leased to the same health-system tenant. Underwriting an off-campus MOB requires closer attention to site-level demographics, drive-time accessibility, and competing ambulatory sites than an on-campus asset, where hospital proximity itself substitutes for much of that site-specific analysis.