January 17th 2024
2024 will mark the end of a three-year pandemic occupancy recovery, paving the way for 2025 to be a year focused on proactive initiatives, efficiency developments, and a forward-looking approach. In the context of senior housing construction, efficiency developments are measured by how well the senior housing sector delivers the right product to the right prospective residents when they need it, and involves streamlining construction processes and timelines, optimizing resource allocation, and finding the right unit mix balance to enhance outcomes in terms of cost-effectiveness, quality vs. affordability, and supply vs. demand in senior housing. See NIC Principal Omar Zahraoui’s latest article rounding out the series here.
Three quarters of the estimated 16 million ‘middle market’ seniors age 75+ won’t be able to afford senior housing in 2033. The Milken Institute’s Financial Innovations Lab® and Center for the Future of Aging Research shares potential financing and scaling solutions that operators and investors should consider. The work was underwritten through a grant from NIC and CVS Health. Read the full report and key takeaways from this research here.
The year ahead is likely to be one of transition. We are in the midst of positive momentum with senior housing market fundamentals in the form of occupancy and high levels of unit absorption. As a sector, we need to determine how to best align these trends with current capital pressures, economic headwinds, and substantial demographic growth. Read key trends that will drive growth activity in 2024 here.
In the first week of March, NIC will host its 2024 NIC Spring Conference in Dallas, TX. This year’s conference programming has been led by co-chairs Colleen Blumenthal (HealthTrust) and Peter Longo (Cantex Continuing Care Network). Click here to learn more about what they recommend at this year’s event and what attendees can look forward to.
Everyone is eager for positive movement in the capital markets and overall access to less costly capital. This article highlights the current state of the capital markets and what can be expected for the year ahead. Click here for this overview piece by Zachary Britton, a member of the NIC Future Leaders Council and Director with MidCap Financial Services.