The Colliers Healthcare Advisory & Valuation Services team is solely focused on healthcare related business (OpCo) and real estate (PropCo), from complex medical business related operational advisory to real estate related advisory. Our professional team is attuned to the ever evolving developments in the healthcare industry and dedicated to resolving the increasingly complex business / operational and real estate needs of healthcare investors, owners, operators, landlords, tenants and developers in the MENA region. Our group has the expertise and knowledge essential to providing forward-thinking solutions to any challenging healthcare related decision where success is measured in high quality care delivered in a cost effective way.
We provide strategic advice on new healthcare concepts, expansion strategies, market and financial feasibility studies, master planning, branding, medical planning, operational performance benchmarking, business plan creation, development and operational cash flows, introduction of debt, equity and experienced operators to projects, appraisals and land, property and business valuations, PropCo / OpCo models and negotiation, management agreements and operative training and leasing and sales to property & asset management.
We accelerate clients’ success by demonstrating a deep understanding of factors which underpin profitable healthcare business, utilizing local market knowledge and leveraging Colliers’ worldwide presence and platform for services to bring a truly global understanding to the issues facing the healthcare and medical industry today.
Whether you are operating a healthcare facility, leasing, purchasing, selling, investing or developing healthcare real estate assets, our experienced professionals will work collaboratively with you to identify market opportunities, optimize operational and real estate efficiency, and implement cost-control measures that ensure the best possible outcome for your unique challenges.
Healthcare in the MENA Region
One word epitomizes today’s healthcare marketplace – Change.
As the delivery of healthcare in the Middle East and around the world continues to evolve, hospital and health system executives are grappling with many challenging new paradigms. Integrating the transition from “fee for service” to “fee for quality” delivery models, new compliance requirements, driving wellness and prevention, and ensuring better coordination and efficiencies are but a few of the critical initiatives hospital and health system executives face. Trends and industry changes require investors and operators of healthcare facilities to make challenging decisions. Over the years the healthcare systems have improved across the region however the healthcare sector still continues to offer significant opportunities for investors/operators due to number of factors including.
- High population growth rate: The MENA region has one of the highest population growth rates in the world, second only to sub-Saharan Africa. The population has increased from around 100 million in 1950 to 500 million in 2010. Current projections anticipate the population to further increase to 800 million by 2050, exceeding the population of Europe by 2050.
- Young population profile: The majority of the population in most of the MENA region countries falls between Generation X (1965 – 1980), Generation Y (1981 – 2000) and Generation Z (2001 – present); with approximately 33% under the age of 15 and 21% between the ages of 15 and 24 years, As the current population of the region ages there is likely to be a sharp rise in healthcare demand as almost 80% of a person’s healthcare requirements typically occurs after the age of 40 – 50 years.
- Introduction of compulsory health insurance: After compulsory health insurance was introduced in Abu Dhabi, the revenues of most of the private hospitals doubled in subsequent years, more and more countries / cities, including Dubai is also expected to follow the same pattern.
- The expatriate factor in the GCC: The presence of a large number of expatriates in the GCC which is approximately 50% of the GCC population, results in demand for private healthcare provider and creates demand for operators from their native countries / region, as well as, demand for international operators from United Kingdom, USA and Asia.
- The establishment of healthcare hubs in the region: The emergence of ‘satellite campuses’ by global players in the region, such as; Dubai Healthcare City in the UAE, Hamad Medical City Doha and number of other planned medical cities where established players such as Mediclinic from South Africa, Imperial College London Diabetes Centre from UK, Great Ormond Street Hospital for Children from UK, Weill Cornell Medical College in Qatar, to name a few.
- High returns on healthcare sector investments: Similar to education, efficient private hospitals can make around 15% to 20% net profit margins once a hospital is stabilised, thus encouraging both investors and operators to invest in healthcare sector in the MENA region.
- Heavy reliance on imported medicine and medical equipment: This increases the cost of establishing healthcare facilities. A number of medical equipment suppliers provide medical equipment on long-term leases, and even equity investment in order to facilitate healthcare initiatives.
- Supply of healthcare facilities struggles to keep pace with the burgeoning population: A situation recognised by the government that has introduced a number of initiatives in the recent past to encourage the private sector to match the shortfall and benefit from this potentially lucrative sector.
Healthcare Advisory & Valuation Services include
- Strategic & Business Planning
- Economic Impact Studies
- Medical Planning
- Market & Competitive Studies
- Catchment Area Analysis
- Market & Financial Feasibility Studies
- Financial and Business Modelling
- Market & Commercial Due Diligence
- Land, Property & Business Valuation
- Mergers & Acquisitions Assistance
- Buy Side Advisory / Sell Side Advisory
- Sale & Lease Back Advisory
- Public Private Partnership (PPP) & Privatisation
- Operator Search & Selection and Contract Negotiation
- Site Selection & Land / Property Acquisition
- Asset & Performance Management
- Performance Management & Industry Benchmark Surveys
Conducted Studies for the Following Specialities
- General Hospital (20+ Hospitals)
- Maternity & Childcare (10+ Hospitals)
- Polyclinics (10+ Centres)
- Day-care Centre (5+ Centres)
- Beauty, Cosmetic & Wellness Centre / Resorts (5+ Centres)
- Trauma & Rehabilitation (5+ Hospitals)
- Long-Term Care (5+ Hospitals)
- Women only Wellness & Fitness Centre (3+ Centres)
- Cardiac (2 Hospitals)
- Paediatric (2 Hospitals)
- Nursing Homes (1 Hospital)
- Retirement Homes (1 Hospital)
- Oncology / Cancer (1 Hospital)
- Orthopaedic (1 Hospital)
- Pulmonary Centre (1 Hospital)
- Kidney, Heart and Liver Transplant Centre (1 Hospital)
- Medical College (1 Institution)
- Nursing College (1 Institution)
Why Colliers International?
Colliers International is committed to accelerating the success of our healthcare clients by demonstrating a deep understanding of factors which underpin profitable healthcare businesses. Focused solely on healthcare industry, Colliers Healthcare advisors have the expertise and knowledge essential to providing forward thinking solutions to any challenging healthcare related operational and/or real estate decision where success is measured in high-quality care delivered in a cost effective way.
Utilizing local market knowledge and leveraging Colliers’ worldwide presence and platform of services, our professionals bring a true understanding to the issues facing the healthcare industry today. At Colliers, we believe we must first understand our clients’ key challenges, operations, and culture to support your needs.
Colliers Healthcare Team in the MENA Region
In this era of healthcare reform, providers face unprecedented pressure from payers, employers, and consumers to deliver higher quality, more efficient care. Today, more than ever, hospitals must embrace a different type of business model, with a new set of investments and relationships to achieve success. To navigate the changing landscape, you need expert advisors with strategic insight into the healthcare industry, extensive resources, and forward-thinking solutions. Colliers Healthcare Advisory & Valuation Services is a dedicated, nationwide team of healthcare specialists who truly understand the unique challenges of this industry. Colliers trusted advisors have a big picture perspective, putting in-depth knowledge of industry trends, policies and players to work for you.
The Colliers MENA Healthcare team has in-depth experience in the international healthcare market, understanding market dynamics, location and design criteria and the vital importance of quality. Our strengths include our unrivalled network of operator contacts and our ability to assess sustainable profitability of healthcare businesses, by reference to both local and international operational benchmarks. Led by Mansoor Ahmed, the Healthcare team are focused on providing bespoke solutions to healthcare businesses. We are exclusively focused on the healthcare market and the breadth of experience of the team is unrivalled covering, operational, real estate, consultancy and corporate finance related advisory work.
The team has excellent relationships with regional and international healthcare operators and debt and equity providers in the region. Our team works alongside experienced architects, planners and operators to ensure optimal results are delivered on time to ensure client satisfaction. We have been involved with a number of high profile projects over the last three years, delivering creative and innovative solutions in various locations to include; Bahrain, Ecuador, Egypt, Iraq, Jordan, Kenya, Kingdom of Saudi Arabia (Riyadh, Jeddah, Makkah, Medina, Damman, Al Khobar and Najran), Kurdistan, Kuwait, Morocco, Oman, Qatar, Sudan, Tanzania, United Arab Emirates (Abu Dhabi, Al Ain, Dubai, Sharjah and Northern Emirates) and Zanzibar.