Folsom Could See Over 500,000 Square Feet Of New Doctor’s Offices And Medical Clinics

[Ben Howard]

Perhaps you have considered a mid-term rental, but are unsure what market is worth your consideration? Or, maybe you have run the numbers for an investment home purchase in the Sacramento region and it’s challenging to find a property that cash flows well? Short term rentals are an option, however with increasing local legislation, fees, and competition are not providing a level of risk which you may not be comfortable with.

There is a market that I suggest to my investor clients as an upcoming opportunity. A market where the potential is not just in growth of mid-term rental demand, but also appreciation based on historical trends and forecasted supporting employment. A market with highly rated schools, a median annual household income of $134k, and personal crime well below the national average.

Folsom, California

First, let’s look at the recent headlines which support my opinion:

Right now Mercy Folsom (Dignity Health) has 106 Beds – and is the only acute-care hospital in Folsom.

Dignity Health is planning on an investment of $1b+ for a 27 acre medical campus in Folsom Ranch. Plans include a 10 bed hospital that could expand to 300 beds by 2045. First phase is a 66,000 square foot medical office complex.

UC Davis Health is developing a 115,000 square foot Folsom Ranch medical office building opening in 2024. They have acquired over 40 acres. Currently primary and specialty care is spread across three leased buildings. Future phases may include a 30 bed micro hospital. Also, UC Davis Health just proposed a 8000 unit master plan healthy living community with a 200 acre UC Davis teaching, research, and health complex on the border of Folsom and El Dorado Hills, south of Highway 50.

Sutter Health had plans for a 100,000 square foot multi specialty center in the Folsom Ranch area.

Kaiser Permanente is planning to add a second comprehensive care center in Northern California. This is a 250,000 square foot facility next to its existing surgical center near Palladio at Broadstone.

Overall, Folsom could see over 500,000 square feet of new doctor’s offices and medical clinics. Plus, this Sacramento Business Journal sourced number was established before the announcement of the 200 acre UC Davis teaching, research, and health complex I mentioned above.

Next, let’s consider the overall anticipated demand for nursing in California.