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The Advisory Group

The Advisory Group is a family-owned brokerage and consulting firm.

 

All medical real estate valuations are performed by Ron Young, a Counselor of Real Estate (CRE) with three decades of medical valuation experience. Armed with his detailed, empirical data-supported reports, dozens of healthcare executives have confidently formulated and executed strategic real estate portfolio plans.

 

Professional real estate valuation services like those offered at The Advisory Group and legal advice are essential for healthcare organizations to maintain Stark Law compliance and protect against costly violations.

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Scroll down to explore our services or click one of the links below to learn more.

Our Services

1

Fair Market Value
Analysis

Fair market appraisals and valuation for medical properties including acute care hospitals, outpatient care centers, ancillary

service centers, and physician office buildings.

2

Specialized
Services

OIG litigation support,
Lease portfolio management, Site selection, and
Acquisition & disposition valuations.

3

Market Feasibility
Studies

Full market feasibility studies for medical properties. 

4

Tailored Education
& Training

Establish consistent, compliant methodologies and processes for Real Estate team members to reduce risk of Stark Law violations.

Fair Market Value Analysis

​Fair market appraisals and valuation for medical properties including acute care hospitals, outpatient care centers, ancillary service centers, and physician office buildings.

​

The Advisory Group concentrates its work on performing healthcare fair market rental rate analyses, property value, and part-time session lease valuations. 


A streamlined and economic approach to FMV compliance.

Whether for a large health system or a single medical office or hospital, The Advisory Group’s approach can benefit you. Our approach achieves the mutual objective of reducing expenses, increasing efficiency in your processes, and maintaining a high level of comprehensive regulatory compliance in cooperation with your compliance team. 

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Our deep knowledge of the healthcare real estate sector for over 30 years is matched with the knowledge and experience required to simplify and execute complex transactions. With our focus on healthcare, we have a unique perspective of this rapidly evolving industry that enables us to provide solutions that are customized to our client’s goals and objectives.

Specialized Services

OIG litigation support, Lease portfolio management, Site selection,
and 
Acquisition & disposition valuations.

​

Whether expanding or optimizing your current portfolio, we understand that real estate is a tool to support healthcare providers in their mission of delivering quality patient care. Cooperation with compliance officers to achieve consistent methodologies and processes for fair market valuations is imperative.

 

With over 30 years of experience and over 40 national clients, The Advisory Group can help your team achieve their real estate goals while staying in compliance.

Market Feasibility Studies

Full market feasibility studies for medical properties. â€‹

Tailored Education & Training

Establish consistent, compliant methodologies and processes for Real Estate team members to reduce risk of Stark Law violations.

​

The Advisory Group knows that medical real estate is one part of the bigger picture of delivering patients quality care. 

 

An optimal real estate compliance environment has team members that understand the regulatory environment and risks involved while being empowered to implement consistent processes and methodologies that promote participation and cooperation in compliance.

 

Our customized in-person or online training equips your Real Estate Team to participate fully in the compliance process. 

 

Completion of training with The Advisory Group results in cheaper and more efficient valuations due to streamlined processes and staff participation in gathering necessary, accurate data. 

Frequently Asked Questions

What Is Stark Law Compliance?

The Stark Law prevents healthcare fraud by restricting financial relationships between healthcare providers and entities offering Designated Health Services (DHS). For real estate transactions, this means all rent must be set at Fair Market Value (FMV) through arm's-length negotiations—never based on patient referrals or business volume.

Who Needs Fair Market Value Appraisals?

Healthcare providers and payers

Private practices

Urgent care centers

Retail pharmacies

Non-profit healthcare organizations

Which Transactions Are Subject to Stark Law?

Real estate leases and purchases

Equipment leases

Mergers and acquisitions

Physician service agreements

Practice support payments

Clinical and administrative service contracts

What are the Required Compliance Elements?

Fair Market Value (FMV) Compensation must reflect actual market value in an arm's-length transaction between unrelated parties.

Commercial Reasonableness The arrangement must make business sense without considering patient referrals.

Independence from Referrals Payment cannot be influenced by referral volume or value.

Written Documentation All arrangements must be documented in signed, written agreements with clear terms and duration.

How to Ensure Compliance?

Before Making Any Offer
Develop FMV documentation
Conduct professional market analysis
Perform independent appraisal with qualified real estate professionals
 

During the Process
Hire independent appraisers for market analysis and valuation reports
Gather comprehensive property data including leases, site plans, and floor plans
Monitor local real estate market conditions
 

Documentation and Legal Review
Maintain detailed records of all analyses and agreements
Consult with healthcare attorneys specializing in Stark Law
Ensure all documentation demonstrates compliance

What is the Cost of Non-Compliance?

Stark Law violations can result in penalties up to $300 million. Healthcare providers entering new or renewed leases with referral sources must perform market analysis to ensure compliance and avoid these severe financial and legal consequences.

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