Advantages of Building Space for the Orthopedic Line. Essay Example

Published: 2023-08-21
Advantages of Building Space for the Orthopedic Line. Essay Example
Essay type:  Process essays
Categories:  Medicine Architecture Police
Pages: 7
Wordcount: 1805 words
16 min read

a) Advantages of building space for the orthopedic line

Constructing a building for the orthopedic unit comes with numerous positive impacts. One of them is the provision of a permanent solution. Building the orthopedic service line provides accountability and efficiency in operations as the hospital can focus on one project before embarking on other projects while offering a lasting solution. The community hospital is a well-established institution, and building an orthopedic center is likely to attract more patients and gain confidence in the other services offered at the hospital. Considering the hospital's plans target long-term growth and expansion, having an orthopedic unit built within the hospital campus is likely to put them in an advantaged position to compete against the other hospitals offering similar services. Constructing a building also provides stability in the long term as opposed to other options.

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Secondly, it provides the hospital with the opportunity to choose the design and architecture of their choice. With the budget of $ 600,000 allocated to the building of the orthopedic service line, the hospital should choose the contractors who will work within the budget and build a favorable and presentable design to suit their needs. The building can also provide income to the hospital should they choose to lease a part of the building, which makes it a good business venture. The income can help in improving the services offered at the orthopedic unit or other departments.

b) Advantages of Buying Space for the Orthopedic Line

Several benefits come with buying a property. One of them is taking control of the ownership of the building. Upon completion of the payment, the hospital can get to attain the rights and control over the structure, which enables them to make long-term plans for the usage. By choosing to buy space for the orthopedic unit, the hospital also has more control over its cost.

The hospital has the opportunity to make a selection that is friendly to its budget.

Another advantage is the extended period of payment. Most buildings get paid in a mortgage, which means the payment gets made in installments. Considering that the hospital has other projects that demand equal attention, it provides flexibility and ease in budgeting for the money to ensure all the projects receive the necessary financial support.

Thirdly, the value of land and buildings appreciates over time. Therefore, the hospital receives the benefits of interest, depreciation, and shelter income and investment tax credit (Stewart, 2018). However, this depends on the location alongside other factors that are important in evaluating the economic viability of a property. Buying a property provides the hospital with many alternatives in case the initially intended purpose fails to work. For instance, in case the orthopedic unit fails to yield the expected results, the hospital can opt for other options like converting it into another department. The hospital can also choose to sell it later at a profit if there is a change in plans.

c) Advantages of Leasing Space for the Orthopedic Line

Leasing is a good option when there is a need to embark on the project right away. The costs for starting up are minimal, which makes it both affordable and practical. Leasing a building reduces the time it takes for the hospital to get the orthopedic unit ready to open for use by the patients. It also requires minimal funding, which saves money for the hospital, for use in other projects. The owner of the building also assumes responsibility for the upkeep and maintenance of the building, which lifts the duties from the hospital. $20 is very cheap and manageable for the hospital in the short term.

Another advantage of leasing is the availability of many options to choose from, which presents the hospital with the opportunity to get one that is convenient and favorable. Besides, leasing is also safer for short term duration ((Lagasse, 2019)). The hospitable gets shielded from the adverse effects that are likely to arise from a downturn in the economy. The maintenance cost is also meager or, in most cases, catered for by the landlord.

a) Disadvantages of Building

One of the significant drawbacks of building the orthopedic center is capital and time. Constructing the building within the campus is estimated to cost $ 600,000. Depending on the contractor's approach and architect, it is typical for buildings to exceed the budgeted costs, which in this instance would pose a problem because of the other projects planned for, like the cardiovascular and oncology unit. With the hospital not have been doing well in making a profit, a deviation from the expected expenditure is likely to cause paramount damage to the running of the hospital. It is also difficult to forecast the building's future needs, for instance, if the additional building might be required. The building's maintenance cost is also likely to force the hospital to inject more money into the building, which should instead get channeled into other development projects.

Besides, the space available on the campus is not enough to cater to the construction of the orthopedic unit and leave enough space for other projects that are required to get built inside the institution. Inconveniencies are likely to arise when other hospital departments that need being near each other get established. Due to the limited space available, the construction process is probable to cause inconveniences in hospital operations due to noise pollution and construction waste.

b) Disadvantages of Buying

One of the most significant challenges when buying property is availability. Most people prefer leasing their buildings rather than selling them (Willerton & Grandfield, 2014). As a consequence, it might get difficult to acquire a building located adjacent to the hospital, which is vital for the convenience of both the patients and staff. Having the orthopedic unit situated far away from the main hospital is likely to confuse the patients making it less desirable. Lack of smooth co-ordination between the different hospital departments due to long-distance is probable to affect the patients and make them prefer to seek services from the other hospitals.

Secondly, challenges may occur in case renovations are needed. Repairs can put financial constraints on the hospital due to the additional money required not budgeted for initially. Even though the money can get sourced from the emergency fund, experts warn that renovations always cost more than the estimated costs (Stewart, 2018). Such unintended expenditure can cause delay to other projects which are of equal importance. However, repairs can get avoided through proper and thorough inspection of the building before buying to ensure all the conditions get met. Consultations with the relevant building authorities can also help avert any potential physical or economic problems that are likely to arise.

Disadvantages of Leasing

Leasing is an expensive venture when intended for the long term. Experts warn against choosing this option for the long term plans (Stewart, 2018). The community hospital is a well-established institution, and the plans for the hospital's intentions are for a long term venture. Therefore, leasing property for the orthopedic unit can prove as an expensive venture in the future, which would call for an assessment of other options.

Another disadvantage is finding the required space at the desired location is a daunting task. The best suitable site for the orthopedic unit is adjacent to the hospital. However, this might prove a challenge because most buildings lack the required space needed. The hospital might end up getting delayed in opening up the orthopedic unit or might lease at an unfavorable location, which may cause inconvenience and inefficiency in operations.


All aspects considered, constructing a building to host the orthopedic unit is the best decision and action to undertake. The reason for this is in line with the hospital's mission of ensuring efficiency in operations and striving to grow in volume the services offered while at the same time generating enough capital for use in other investments. Erecting a building is going to provide the hospital with stability in their investment in the long term compared to leasing or even buying. The hospital has the opportunity to build the design of their choice, which suits the intended purpose and also provides additional features that are not available in the other competing hospitals. It will also prove essential for the hospital in the long term in building an excellent reputation, which will help attract and expand their clientele, thus making more profit.

Erecting a building also helps in departmental adjacencies. It ensures the orthopedic service line gets built at a location that offers proximity to the other departments, making it convenient for the staff to move around. In comparison with, for example, leasing, which is likely to be outside the hospital, building ensures the services sought by patients are close together. It prevents patients from moving long distances when they need other departments' services, which might discourage them from revisiting the hospital or referring it to their families and friends. Proper planning and organization attract clients and make them have confidence in the services provided by the hospital.

Community hospital already has an excellent reputation for excellent nursing services which makes it to stand out against the competitors. Its location is in a neighborhood where 63% of the population is between 18-64 years, representing the productive age margin, which frequents the hospital often. Therefore, building guarantees long term care for the patients, which attract patients who need consistent orthopedic care. It is also a long term investment for the hospital, which provides revenue for the implementation of other projects relevant to the growth of the hospital, which is vital to ensure all aspects of patient care, gets catered for as required.

The budgeted cost of $ 600,000 is enough to cater for all the needs in building the orthopedic service line if the contractor strictly adheres to the guidelines and operates within the budget. Therefore, the hospital needs to conduct proper vetting of the architecture and contractor company to avoid incurring unnecessary costs, which can affect the implementation of the other programs.

However, completion of the building is likely to take time, delaying the opening of the orthopedic service line. However, the short term inconvenience caused by the delay is insignificant compared to the long-term benefits provided in the future. Meanwhile, the orthopedic team can conduct outpatient consultations and outreach programs to build clientele as they wait to complete the construction. The building of the orthopedic service line is also going to provide great insight to the management in the planning and preparation for the implementation of the other projects, for instance, the cardiovascular and oncology units.


Key considerations in buying new versus renovation. (2003), 3(4), 32-36. ""

Lagasse, J. (2019). Healthcare real estate: The pros and cons of buying versus leasing. Healthcare Finance News.

Stewart, J. (2018). Leasing vs buying medical space. Medical Economics, 95(12).

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