Palo Alto is one of the strongest healthcare real estate markets in Santa Clara County, anchored by Stanford Health Care and the Stanford School of Medicine. The city attracts specialists, clinical researchers, and healthcare-related businesses from across the Peninsula and beyond. Most medical office activity is concentrated along El Camino Real, University Avenue, and within Stanford Research Park. Strict local zoning keeps new supply limited, contributing to low vacancy and premium rents, which makes early planning and careful lease negotiation especially important in this market.