Figures | Medical Outpatient Buildings | Q2 2025
MOB Rents Hit Record High as Absorption Turns Positive
CBRE RESEARCH | AUGUST 2025
^ $2.2 B
Investment Volume
^ 7.4%
Average Cap Rate
^ 507,000 SF
Net Absorption
^ 9.9%
Vacancy Rate
Note: Arrows indicate change from the previous quarter.
Investment volume is compiled using the MSCI transactional database and deals reported by CBRE Healthcare Capital Markets and CBRE Healthcare Practice Advisory Group.
Executive Summary
• Medical outpatient building (MOB) investment volume rose by 32% quarter-over-quarter in Q2 to $2.2 billion, bringing the trailing-four-quarter total to $9.1 billion.
• The average MOB sale price of $277 per sq. ft. in Q2 was 41% more than the $196 per sq. ft. for traditional office buildings.
• The average MOB capitalization rate rose by 10 basis points (bps) quarter-over-quarter to 7.4%, while that of traditional office buildings rose by 5 bps to 7.9%.
• Phoenix was the top market for trailing-four-quarter MOB investment volume in Q2 with $384 million, followed by Los Angeles with $365 million and Washington, D.C. with $356 million.
• Average asking rent reached a record high of $25.18 per sq. ft. in Q2, up by 0.5% quarter-over-quarter and 0.8% year-over-year.
• The MOB sector had 507,000 sq. ft. of positive net absorption in Q2, following two consecutive quarters of negative demand.
• The 59 markets tracked by CBRE had a combined 2.7 million sq. ft. of MOB space under construction as of Q2, led by Dallas, Phoenix and Austin.
For more information, please contact:
Chris Bodnar
Vice Chairman
Investment Properties
+1 720 635 2653
Brannan Knott
Executive Vice President
Investment Properties
+1 443 983 6039
Mindy Berman
Executive Vice President
Investment Properties
+1 617 899 0657
Zack Holderman
Senior Vice President
Debt & Structured Finance
+1 858 337 9412
Cole Reethof
Vice President
Investment Properties
+1 404 504 7864
Jesse Greshin
Vice President
Debt & Structured Finance
+1 860 808 4810
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