NIC Research & Data
NIC MAP® Market Signals
1Q10 Market Signal: Three Year Occupancy Performance by Property Type
It is widely known that seniors housing occupancy rates have declined during the past three years. In
fact, since reaching a cyclical peak of 92.3% in 1Q07, the seniors housing occupancy rate has declined
by 430 basis points (bps) to 88.0%. Occupancy has declined in 11 of 12 quarters since 1Q07. When looking
at occupancy performance by property type, it is clear that some property types have fared better than
others.
Generally, assisted living properties (AL) have fared better than independent living properties (IL)
during the past three years. Combined assisted living properties (properties that have a majority of
assisted living units along with independent living, memory care or nursing care units) have declined
by 270 bps from 90.3% in 1Q07 to 87.6% in 1Q10. This compares to freestanding IL properties, whose occupancy
rate has declined by 620 basis points, from 91.0% in 1Q07 to 84.8% in 1Q10.
CCRCs have declined 410 bps in the past three years and are now 89.7% occupied across MAP31. Interestingly,
CCRCs have maintained 90%+ occupancy until this quarter and are still boasting the highest average occupancy
rates of all property types mentioned in this signal.
Each quarter, NIC MAP provides insights, trends and analysis on over 12,300 properties on the 100 largest
MSAs. To update your analysis of seniors housing properties in your market(s), please visit
www.nicmap.org.
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