Research
2024 Seniors Housing & Care Investor Survey and Trends
Interest in seniors housing investments remains strong as investors seek higher yields from alternative asset classes
February 13, 2024
Contributors:
- Lauro Ferroni
- Kari Beets
In line with investors’ increased focus on alternative investment sectors across the board, 63% of respondents to the Q4 2023 survey indicated they are seeking to increase their exposure to the seniors sector in 2024. Assisted living upheld its position as the most targeted investment opportunity, and active adult and independent living rounded out the top-three investment picks. Opportunities exist for investors to acquire high-quality real estate at below replacement cost and the investment community will continue to target alternative sectors that stand to benefit from long-term demographic tailwinds.
Report highlights
- The seniors housing and care sectors continue to advance in their recovery from COVID-19 lows
- Market fundamentals are recovering with rising occupancy, aided by a significant slowdown in construction starts
- Rent growth, while softening somewhat during 2023, exceeds the rental multi-housing sector by a wide margin
- Transaction volumes in the seniors housing and nursing care sector are down considerably from recent peak levels as real estate contends with the higher interest rate environment
