New research shows that senior housing’s preventative approach to care contributes to increased quality of life for residents and reduced healthcare costs over time. The analysis was conducted by NORC at the University of Chicago (NORC) and supported by NIC.

Researchers assessed the sustained impact senior housing has on residents’ health and medical costs and found that older adults who remain in senior housing utilize less acute care services and see their health stabilize for several years after moving in.

Researchers also found that senior housing can promote health and wellness of residents with neurodegenerative diseases(NDD) by reducing the number of hospitalizations and readmissions, providing relief for family caregivers, and enabling timely access to care in a supportive environment, ultimately leading to greater longevity.

Key takeaways:

• Approximately one in four residents had a hospital admission in year three, compared to one in three in the first year.
• The proportion of residents with an emergency department visit declined by 14% from year one to year three.
• Average total Medicare costs per patient were $7.2K lower in year three than in year one.
• Top-performing senior housing communities created greater stability and safety for residents with NDD by reducing hospital visits, stays and readmissions—as well as lowering costs.

These findings suggest that senior housing continues to improve residents’ health and well-being for several years post move-in as operators provide effective and efficient solutions that help address unique healthcare challenges.

The research is part of an ongoing initiative led by NIC, in collaboration with NORC, to assess how senior housing supports the health and well-being of older adults. For full methodology and findings, click here.

NIC extends heartfelt congratulations to the Future Leaders Council (FLC) Class of 2025, who celebrated their graduation during the NIC Fall Conference in Austin, Texas. Over the course of their three-year term, these leaders advanced NIC’s mission by contributing to strategic projects, serving on committees, and sharing their expertise through meaningful content and programming.

• Madisen Medley, Chair – Vice President, Business Development, Merrill Gardens
• James Estes, Vice Chair – Vice President, Asset Management, Sunrise Senior Living
• Trever Sweeney, Vice Chair – Vice President, Asset Management, Ventas
• Sarah Anderson – Senior Managing Director, Newmark
• Maxwell Gabriel – Director of Business Development & Analytics, Generations
• Kyle Gardner – Chief Operating Officer, NIC Map
• Jon Glass – Executive Director, PGIM Real Estate
• Aubrey Haenlein – Vice President, Acquisitions & Asset Management, Omega Healthcare Investors
• Andrew Katzmann – Vice President, Finance, Juniper Communities
• Brandon Phillips – Vice President, Artemis Real Estate Partners

Alongside honoring the graduates, NIC is pleased to welcome the incoming FLC members:

• Dushyanth “D” Biyyala – Head of Growth, Sage
• Grant Blosser – Managing Director, VIUM Capital
• Robb Cozad – Vice President, Investments, Ventas
• Mary Kate Cruise – Vice President, Acquisitions, AEW Capital Management
• Jeff Durkin – VP New Product Development, NIC MAP
• Graham Johnson – Vice President, Investments, LCS
• Panayoties “Peter” Kravaritis – VP Asset Management, Sunrise Senior Living
• Jacob Swint – VP, Strategic Growth & Operations, National Church Residences
• Avery Wallace – Manager of Capital Partnerships, Inspiren
• Lexi Zager – VP of Financial Planning & Analysis, Belmont Village Senior Living

The 2025–2026 FLC Leadership Team will guide their peers, collaborate with NIC staff, and champion the FLC’s initiatives in the year ahead:

• Brittany Spicer, Chair, Assistant Vice President, National Health Investors
• Morgan Graphman, Vice Chair – Director of Business Intelligence, Ascent Living Communities
• Ilya Gaev, Vice Chair, Partner, HealthTrust
• Mike McMillen, Vice Chair, Executive Vice President of Sales, SafelyYou

“The Future Leaders Council (FLC) was established by the NIC board in 2009 to develop the next generation of volunteer leadership for the organization. Selected through a highly competitive application process, FLC members represent the diversity of perspectives and areas of expertise essential to design, develop, finance and operate the next generation of senior housing and care products. The relationships formed, the knowledge gained, and the leadership skills developed (or ‘honed’) by FLC members during their three-year terms provide a strong foundation for the future of NIC and for the future of the entire senior housing and long-term care industry.” – Bob Kramer, NIC co-founder and former CEO and Chair of the FLC Advisory Committee, current board member and strategic advisor.

NIC sincerely thanks all current and incoming FLC members, and their organizations, for supporting leadership growth and advancing NIC’s mission to expand access and choice for America’s older adults.

Learn more about the FLC here.

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Roughly 3,200 senior housing and care operators, investors and industry professionals traveled to Austin, TX earlier this month to attend the 2025 NIC Fall Conference. Upon check-in, all registrants were asked to rate their overall outlook for senior housing and care in the year ahead. This NIC Industry Sentiment Poll was first launched at the 2024 NIC Spring Conference and has been repeated at each major NIC conference ever since. As detailed in the graph below, the overall outlook of industry participants is the highest it has been since the poll’s inception.

Ninety-two percent (92%) of the almost 2,900 respondents reported an “Extremely Positive” or “Positive” outlook for the year ahead, which is 2.8% above the industry sentiment measured just six months ago at the NIC Spring Conference. Despite acknowledged headlines related to potential tariff impacts, subdued development activity, and a potential supply-demand gap, the energy and optimism were evident throughout the three days of the conference.

The NIC Research and Analytics team will once again measure the industry outlook at the 2026 NIC Spring Conference scheduled for March 30-April 1in Nashville, TN. Be on the lookout for registration information later this year.

The pricing power in senior housing is no longer uniform; it is stratified by segments and shaped by turnover, affordability pressures, and the balance between choice and care necessity.

The second quarter of 2025 reinforced an important theme for the senior housing industry. Independent living (IL), as a choice-based segment, is achieving the strongest rent growth and the lowest reliance on discounts, while need-based care segments – assisted living (AL) and memory care (MC) – are grappling with rising discounting practices and tighter affordability constraints. Pricing power is increasingly a function of turnover dynamics and resident ability to pay. Segments with longer lengths of stay and lower reliance on concessions, most notably IL, are not only delivering stronger returns today but also feeding demand into the next stages of the care continuum.

Despite these variations in pricing, absorption across all segments remained positive, with move-ins exceeding move-outs for the 17^th consecutive month. These positive absorption patterns highlight resilient demand, although in AL and MC that strength is coming at the cost of deeper concessions.

Independent Living Segment: A Standout Performer in Rent Growth

IL is emerging as the clear leader in rent growth. Asking rates increased by 6.7% and in-place rents rose by 9.1% year-over-year as of June 2025, but the most striking development was in initial rates, which surged 16.9% to a record high. Equally notable, discounts narrowed sharply. On average, residents moved in at rates only $298 below asking in June 2025, equivalent to 0.8 months of rent on an annualized basis. One year earlier, that gap was more than double ($634, equivalent to 1.8 months).

The combination of higher rent growth and lower discounts reflects not only strong market demand but also the positioning of IL as a lifestyle choice, where residents are willing and able to pay for independence and amenities. Importantly, IL residents are often tomorrow’s AL and MC residents, meaning today’s strength in IL rent growth is also a leading indicator of the type of demand moving through the care continuum.

Assisted Living Care Segment: Moderate Rent Growth but Rising Discounts

By contrast, the AL segment delivered more moderate rent growth, highlighting its positioning as a need-based segment. Asking and in-place rents increased by 5.9% and 5.5%, respectively, while initial rents rose just 4.2% from year-earlier levels. At the same time, discounts widened to $673, or about 1.2 months of rent, compared with one month the prior year.

These trends suggest that while demand remains steady, operators are leaning on greater concessions to further drive move-ins and balance affordability. For many families, AL is a need-based decision made under financial constraints, which heightens price sensitivity and limits how much operators can push rents before turning to discounts.

Memory Care Segment: Rent Growth Deceleration and Affordability Pressures

MC, meanwhile, is experiencing the sharpest slowdown. Asking rents grew 5.1% year-over-year in June 2025, down from 5.8% in 2024. Initial rates rose by just 2.2%, less than half the pace of the previous year. Discounts widened considerably, averaging $898, or 1.2 months on an annualized basis, up from 0.9 months last June.

With a median stay of only 18 months, MC remains the shortest-tenure segment, and higher turnover is increasingly translating into deeper discounts.

Additional key takeaways are available to NIC MAP subscribers in the  full report.   

About the Report: The NIC MAP Seniors Housing Actual Rates Report provides aggregate national data from approximately 300,000 units within more than 2,500 properties across the U.S. operated by over 50 senior housing providers. The operators included in the current sample tend to be larger, professionally managed, and investment-grade operators as a requirement for participation is restricted to operators who manage 5 or more properties. Visit the NIC MAP website for more information.

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The following analysis examines the broader occupancy trends, year-over-year changes in inventory, and same-store asking rent growth – by care segment – within 1,054 entrance fee and rental CCRCs in the 99 NIC MAP Primary and Secondary Markets.

2Q 2025 Unit Type Distribution in Entrance Fee vs. Rental CCRCs

The exhibit below explores the distribution of unit type across entrance fee and rental CCRCs, revealing a greater prevalence of independent living units in entrance fee CCRCs.

In Entrance Fee CCRCs, the data showed that independent living units represent 65.7% of the total inventory in the second quarter of 2025 – the largest share across all care segments and payment types. This was followed by nursing care (18.1%), assisted living (12.2%), and memory care (3.9%).

Entrance fee CCRCs typically attract residents who plan ahead for long-term needs, often moving in and choosing independent living as their initial option while still relatively healthy, active, and not in need of daily assistance. Over time, as their care needs increase, they may transition to other care segments, but the majority of inventory remains independent living.

In Rental CCRCs, independent living (39.4%) and nursing care (38.2%) each represent a notable share of inventory, while assisted living accounts for 17.4%, and memory care for 4.9%, of inventory.

The near-even split between independent living and nursing care in rental CCRCs suggests a different dynamic. The relatively lower financial barrier may attract residents who delay moving in until they require more care, leading to a higher proportion of assisted living units, memory care units, and nursing care beds, compared to entrance fee CCRCs.

2Q 2025 Market Fundamentals by Care Segment – Entrance Fee vs. Rental CCRCs

The exhibit below compares the market performance of entrance fee CCRCs and rental CCRCs by care segment for the second quarter of 2025, highlighting year-over-year changes in occupancy, inventory, and asking rent growth.

Occupancy. Entrance fee CCRCs continued to outpace rental CCRCs in occupancy rate across all care segments. The highest occupancy in entrance fee CCRCs was seen in the independent living segment (93.5%), while memory care segment (91.4%) has the highest occupancy rate in rental CCRCs.

The difference in the second quarter 2025 occupancy rates between entrance fee CCRCs and rental CCRCs was largest in the independent living segment (2.4pps), followed by nursing care segment (1.3pps), and assisted living segment (0.6pps), with the smallest gap in the memory care segment (0.4pps).

Rental CCRCs showed higher year-over-year occupancy growth in independent living (2.1pps), assisted living (3.0pps), and memory care (2.9pps) segments. This is a pattern that has been consistent in recent quarters.

Asking Rent. The monthly average asking rent for entrance fee CCRCs across all care segments remained higher than rental CCRCs. While the actual rent figures were higher for entrance fee CCRCs, the rent growth was higher within the rental CCRCs. Rental CCRCs showed higher year-over-year rent growth in assisted living (4.3% to $6,360), memory care (4.1% to $8,132), and nursing care (4.7% to $407^*) segments. Note, these figures are for asking rates and do not consider any discount that may occur.

Inventory. Compared to the year-earlier level, rental CCRCs experienced inventory decline across all care segments. The largest decrease occurred in the assisted living segment (-2.6%), followed by independent living segment (-2.5%), and nursing care segment (-2.1%), with the memory care segment (-1.1%) seeing the smallest decline.

In contrast, entrance fee CCRCs showed mixed trends: assisted living saw the largest year-over-year inventory growth (1.4%), while nursing care inventory experienced the largest decline (-1.0%).

Negative inventory growth can occur when units/beds are temporarily or permanently taken offline or converted to another care segment, outweighing added inventory. This attrition of units, coupled with record-low development activity in the sector, has delivered this trend of an overall decline in inventory.

Look for future articles from NIC to delve into the performance of CCRCs.