Healthcare providers expand into shopping malls, replacing anchor retail tenants

A rendering of a planned medical-office building at the Marketplace Mall in Rochester, N.Y.

February 7, 2022 – The Marketplace Mall in Rochester, N.Y., has a food court, arcade games and plenty of fashion boutiques. Soon, it will perform hip replacements and rotator cuff surgeries, too. 

A closed Sears department store and an adjacent wing of the mall are being reborn as a roughly 350,000-square-foot orthopedic healthcare campus. It will include operating rooms, outpatient facilities and medical and administrative offices. 

The University of Rochester Medical Center’s $227 million project is part of the recent boom in mall-to-medical conversions. Malls have long been home to urgent-care facilities or doctor’s offices. But in recent years more property owners have started turning entire sections over to hospitals or clusters of medical tenants. 

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