Grubb & Ellis® HEALTHCARE REIT Healthcare is an essential industry with strong long-term fundamentals As a nation, America is growing—and growing older, with the population expanding and the baby boomers entering their 60s. New medical techniques are fueling fresh demand for healthcare, which is expected to account for 20 percent of the U.S. economy by 2015.1 The American Hospital Association expects baby boomers to “reshape the healthcare system forever.” Boomers, in particular, are expected to use more healthcare resources per person than past generations because they are living longer and managing more complex conditions.2 Echo boomers, (the children of the baby boomers), will also drive demand for medical care in the future. According to a University of New Hampshire study, many echo boomers are now “on the path toward chronic health diseases.“3 The number of physician visits has been increasing for all populations—by 34 percent over the last decade. By 2030, there will be nearly twice as many adult physician visits as there were in 2004, and boomers will account for more than four of every 10 of these visits.4 1 “When I’m 64: How the Boomers Will Change Health Care,” 2007. 2FCG projections based on J. Wolff, et al. “Prevalence, Expenditures, and Complications of Multiple Chronic Conditions in the Elderly,” Archives of Internal Medicine, 2002:162:2269-2276 ‘“Nutrition in Health & Well Being Study,” University of New Hampshire, June 14,2007. 4 FCG projections based on National Center for Health Statistics, National Ambulatory Care Survey 2004, June 2006. 2007 Acquisitions The Gallery Professional Building St. Paul, MN Square Feet: 105,000 Acquired: March 2007 Highlands Ranch Healthcare Plaza Highlands Ranch, CO Square Feet: 80,000 Acquired: December 2007 St. Mary Physicians Center Long Beach, CA Square Feet: 67,000 Acquired: September 2007 Tucson Medical Office Portfolio Tucson, AZ Square Feet: 111,000 Acquired: November 2007 Thunderbird Medical Plaza Glendale, AZ Square Feet: 110,000 Acquired: May 2007 |