Why Pet Care Clinics Are a Big Deal for Commercial Real Estate
Welcome to 2025, where pet ownership is at an all-time high, and so is the demand for faster, more convenient veterinary care. In the United States, 87 million households own pets. Last year alone, Americans spent over $38 billion on veterinary services, with an increasing share going toward emergency and specialty care - a trend that’s reshaping how pet healthcare is delivered. ?
Today, pet owners are treating vet visits like routine human healthcare. Preventative checkups, wellness plans, and urgent but non-emergency visits are more common than ever, and traditional clinics haven’t always kept pace. Animal healthcare is anticipated to be the biggest driver of growth in the pet care services sector that is expected to more than double from $48 Billion in 2019 to $120 Billon by 2030.? “The pet category continues to be one of the most dynamic in retail” according to Walmart, with veterinary services being the second largest spending category after food. Pet owners are prioritizing their “family member” pets well above most other spending categories.??
Pet clinic retail chains like Banfield Pet Hospital, PetSmart Veterinary Services, and PetWellClinic are shaking up the industry by offering low-cost, appointment-free services that cater to today’s pet parents.
Banfield Pet Hospital, the industry’s heavyweight, has over 1,000 locations and offers subscription-based wellness plans that cover vaccines, checkups, and even dental cleanings.
PetSmart Veterinary Services offer comprehensive wellness exams, vaccinations, preventive care, and pain management options to keep your pet comfortable and thriving, plus other pet wellbeing care.?
PetWellClinic, with over 150 units nationwide, takes it a step further by offering a full-service walk-in experience and affordable fixed pricing, where pets can get treated for ear infections, allergies, skin issues, and minor illnesses without the hassle of appointments.? PetWellClinic has its paws clawing for rapid growth in the Phoenix Metro Area with plans to grow rapidly to16 clinics from its current 3 open and operating unit base.?
Each of these models cater to a growing audience of pet owners who want fast, transparent, and reasonably priced vet care.
Why Pet Care Clinics Are a Big Deal for Commercial Real Estate
This explosion in pet healthcare isn’t just a win for pet owners, petcare providers are quickly absorbing more and more commercial real estate space. Shopping centers that house essential services—like vet clinics—attract consistent foot traffic and give people a reason to visit regularly. Unlike a trendy retail store that might struggle when the economy dips, pet healthcare is recession-resistant—people will always prioritize their pets’ wellbeing.
Velocity Retail Group, a prominent southwest US retail brokerage firm headquartered in Phoenix, views pet minute clinics as attractive tenants for retail center landlords, as this category is now one of the core tenant sectors in modern retail developments. When purchasing retail centers, property investors view pet clinic tenants positively since established pet clinics tend to remain in occupancy for many years, adding to the shopping center’s rent roll stability. ?The Shoppes at 50C, a Velocity Retail Group investment listing in the sought-after Ahwatukee submarket of Phoenix, includes the first PetwellClinic in the Phoenix Metro, further bolstering its strong tenant line up.
Overall, pet care tenants boost property value, drive repeat visits, and pair well with nearby businesses like pet supply stores, grooming salons, and even coffee shops.
What’s Next for the Pet Healthcare Industry?
The pet care revolution is just getting started. Expect more subscription-based wellness plans, like Banfield’s, to pop up at walk-in clinics. And don’t be surprised if more retail spaces shift to accommodate the pet boom, with everything from dog-friendly shopping centers to veterinary services becoming staples in commercial developments.
For pet owners, this means more options, more affordability, and fewer stressful vet visits. For real estate investors and landlords? It’s a golden opportunity to tap into a high-growth, high-loyalty industry.
So, whether you’re a pet parent tired of waiting weeks for an appointment or a real estate player eyeing the next big tenant trend, one thing’s for sure:
The pet care boom isn’t slowing down anytime soon.