Medical Office Timeshares (MOTs)

VMG Health helps simplify medical office timeshare complexity for fair market valuation as we provide one report to cover all aspects of these arrangements including physician compensation, real estate and medical equipment appraisal work.

Medical office timeshares refer to part-time medical office space lease arrangements between a tenant and a landlord. Medical office timeshares have become more prevalent as this type of arrangement provides a cost-effective way for medical providers to serve several geographic markets in a larger metropolitan area.

The Centers for Medicare and Medicaid Services (“CMS”) has established a new exception for medical office timeshares. In their “Proposed Policy, Payment, and Quality Provisions Changes to the Medicare Physician Fee Schedule for Calendar Year 2016”, they will permit timeshare arrangements for the use of the office space, equipment, personnel items, supplies, and other services.

In its most basic form, a medical office timeshare is generally structured as a combined lease of some or all of the following:

  1. Medical office space
  2. Medical and office equipment
  3. Clinical and non-clinical staff
  4. Medical and office supplies
  5. Other items and services

Medical Office timeshares typically utilize partial space, are part-time in nature and are frequently structured as leases of specified blocks of time.

Relevant Publications & Presentations on Medical Office Timeshares

Important Considerations in Understanding Fair Market Value Opinions for Timeshare Arrangements