The Rise of Medtail: How AB&B is Transforming Commercial Real Estate
March 25, 2025
The commercial real estate landscape is evolving as healthcare providers increasingly move into retail spaces, merging essential services with the convenience of traditional shopping corridors. This model, known as Medtail, is redefining how developers like AB&B approach tenant mix, property selection, and long-term community impact.
At AB&B, we’re not just responding to the Medtail movement – we’ve helped shape it. By identifying high-visibility locations in growing communities and fostering strong, service-minded tenant relationships, we’re delivering value not only to property stakeholders but to the people these spaces are meant to serve.
Medtail Is More Than a Trend – It’s the Future
Consumer behavior continues to drive the expansion of Medtail. According to the 2023 JLL Healthcare Real Estate Report, nearly 70% of patients prefer receiving care in retail-adjacent locations for the ease and accessibility it offers. Whether it’s scheduling a dermatology appointment between errands or accessing a dental office down the street, proximity matters.
“One of the benefits of practicing dentistry for over 15 years is the unique perspective I’ve gained from countless patient conversations,” says Dr. Hesham Baky, AB&B Co-Founder and Managing Partner. “While providing care, I often hear how much people appreciate the convenience of accessing medical services near their daily errands, rather than navigating large medical parks or out-of-the-way locations. This consistent feedback shaped our approach long before ‘Medtail’ became an industry term.”
By listening to real people and translating that insight into strategy, AB&B transitioned many of its properties into Medtail-focused spaces well before the industry recognized it as a trend. “Seeing that strategy validated by larger shifts in the market is a testament to what happens when we lead with a service-first mindset,” Baky adds.
The Business Case for Medtail: Stability, Service, and Synergy
Medtail properties serve a critical need. Healthcare services are essential as people will always need medical care, regardless of economic trends. That makes Medtail properties a stabilizing force in the commercial landscape.
“Medtail adds a unique layer of reliability in any real estate portfolio,” explains AB&B CFO Gerhard Renner. “Even in challenging markets, healthcare tenants tend to remain operational. But beyond that, they also enhance the property ecosystem. Medical tenants attract consistent foot traffic, which benefits surrounding businesses, whether retail, food and beverage, or professional services. That kind of synergy is exactly what thoughtful development is all about.”
This increased traffic creates a built-in customer base that supports co-tenants and strengthens the overall appeal of the property for the surrounding community.
Proactive Site Selection Drives Long-Term Value
At the heart of a successful Medtail strategy is intentional site selection. AB&B’s team identifies high-growth areas with expanding residential neighborhoods and strong traffic corridors to ensure a solid base of potential customers and patients.
“The key to Medtail success is being proactive about location selection,” says Jimmy Ricard, AB&B COO. “We combine data – demographic trends, traffic patterns, and emerging economic activity – with community insight and broker relationships. That gives us an edge in identifying ideal properties before they’re widely available.”
Strong partnerships with commercial brokers are a vital piece of the puzzle, allowing AB&B early access to off-market deals and high-potential locations. From there, the team dives deeper into local consumer behavior and community needs to determine the right mix of services and businesses to bring to the space.
AB&B’s Role in Medtail-Focused Development
With a successful track record across North Carolina, AB&B has built a strong foundation of Medtail development expertise. Our focus includes:
-
Thoughtful property acquisition in high-growth communities
-
Development and leasing with an emphasis on health and service-driven tenants
-
Long-term asset management that centers around community needs and tenant experience
As the market continues to shift, Medtail is emerging as a meaningful approach to sustainable real estate. AB&B is committed to helping shape this new landscape: where convenience, care, and commerce intersect.
“We’ve always believed that real estate should serve the people who live and work in its communities,” says Baky. “Medtail helps us do that. By combining essential services with everyday convenience, we’re creating properties that people want to visit, and where businesses want to grow.”
AB&B will continue investing in properties that elevate access to care, create stronger community infrastructure, and promote long-term value for all stakeholders. If you’re interested in learning more about our approach to Medtail development or want to explore potential collaborations – let’s connect.
The commercial real estate landscape is evolving as healthcare providers increasingly move into retail spaces, merging essential services with the convenience of traditional shopping corridors. This model, known as Medtail, is redefining how developers like AB&B approach tenant mix, property selection, and long-term community impact.
At AB&B, we’re not just responding to the Medtail movement – we’ve helped shape it. By identifying high-visibility locations in growing communities and fostering strong, service-minded tenant relationships, we’re delivering value not only to property stakeholders but to the people these spaces are meant to serve.
Medtail Is More Than a Trend – It’s the Future
Consumer behavior continues to drive the expansion of Medtail. According to the 2023 JLL Healthcare Real Estate Report, nearly 70% of patients prefer receiving care in retail-adjacent locations for the ease and accessibility it offers. Whether it’s scheduling a dermatology appointment between errands or accessing a dental office down the street, proximity matters.
“One of the benefits of practicing dentistry for over 15 years is the unique perspective I’ve gained from countless patient conversations,” says Dr. Hesham Baky, AB&B Co-Founder and Managing Partner. “While providing care, I often hear how much people appreciate the convenience of accessing medical services near their daily errands, rather than navigating large medical parks or out-of-the-way locations. This consistent feedback shaped our approach long before ‘Medtail’ became an industry term.”
By listening to real people and translating that insight into strategy, AB&B transitioned many of its properties into Medtail-focused spaces well before the industry recognized it as a trend. “Seeing that strategy validated by larger shifts in the market is a testament to what happens when we lead with a service-first mindset,” Baky adds.
The Business Case for Medtail: Stability, Service, and Synergy
Medtail properties serve a critical need. Healthcare services are essential as people will always need medical care, regardless of economic trends. That makes Medtail properties a stabilizing force in the commercial landscape.
“Medtail adds a unique layer of reliability in any real estate portfolio,” explains AB&B CFO Gerhard Renner. “Even in challenging markets, healthcare tenants tend to remain operational. But beyond that, they also enhance the property ecosystem. Medical tenants attract consistent foot traffic, which benefits surrounding businesses, whether retail, food and beverage, or professional services. That kind of synergy is exactly what thoughtful development is all about.”
This increased traffic creates a built-in customer base that supports co-tenants and strengthens the overall appeal of the property for the surrounding community.
Proactive Site Selection Drives Long-Term Value
At the heart of a successful Medtail strategy is intentional site selection. AB&B’s team identifies high-growth areas with expanding residential neighborhoods and strong traffic corridors to ensure a solid base of potential customers and patients.
“The key to Medtail success is being proactive about location selection,” says Jimmy Ricard, AB&B COO. “We combine data – demographic trends, traffic patterns, and emerging economic activity – with community insight and broker relationships. That gives us an edge in identifying ideal properties before they’re widely available.”
Strong partnerships with commercial brokers are a vital piece of the puzzle, allowing AB&B early access to off-market deals and high-potential locations. From there, the team dives deeper into local consumer behavior and community needs to determine the right mix of services and businesses to bring to the space.
AB&B’s Role in Medtail-Focused Development
With a successful track record across North Carolina, AB&B has built a strong foundation of Medtail development expertise. Our focus includes:
-
Thoughtful property acquisition in high-growth communities
-
Development and leasing with an emphasis on health and service-driven tenants
-
Long-term asset management that centers around community needs and tenant experience
As the market continues to shift, Medtail is emerging as a meaningful approach to sustainable real estate. AB&B is committed to helping shape this new landscape: where convenience, care, and commerce intersect.
“We’ve always believed that real estate should serve the people who live and work in its communities,” says Baky. “Medtail helps us do that. By combining essential services with everyday convenience, we’re creating properties that people want to visit, and where businesses want to grow.”
AB&B will continue investing in properties that elevate access to care, create stronger community infrastructure, and promote long-term value for all stakeholders. If you’re interested in learning more about our approach to Medtail development or want to explore potential collaborations – let’s connect.
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