NIC Notes

Insights in Seniors Housing & Care

Economic Trends

Obsolescence Risk Looming for Properties of the Last Building Boom?

By: Annie Cederholm  |  September 30, 2015

Construction and supply continue to remain hot topics in seniors housing, especially in assisted living, where construction exceeded 6% of existing inventory during the second quarter of 2015. The risk for older properties is in the potential loss of market share, which could be siphoned by new competitors.

Economic Trends  |  Ideas and Discussion

Panelists to Discuss the Impact of Quality on Financial Returns

By: NIC  |  September 25, 2015

Operators know from experience that the delivery of high quality care to residents usually leads to robust referrals and strong occupancies. Reputations count. And investors understand that properties with a focus on quality care typically generate solid cash flows and high returns.

Economic Trends  |  Ideas and Discussion

NIC Talks Speaker Spotlight: Chris Edell

By: NIC  |  September 23, 2015

New to the National Investment Center for Seniors Housing & Care (NIC) Fall Conference are NIC Talks, a series of individual 12-minute talks designed to spark conversation about the future of aging.

Economic Trends

Interest Rates, Cap Rates, and Property Values

By: Beth Mace  |  September 16, 2015

Investor interest in the seniors housing and care sector is strong. Transactions are near peak levels in terms of both dollar volumes and the number of deals closing. Over the past four quarters, 554 deals closed, a near-record pace and equal to $23.4 billion of transactions. Strong demand is pressuring prices higher, with per-unit pricing averaging $173,000 for seniors housing and $73,000 for skilled nursing on a four-quarter moving average basis in the second quarter of 2015. Prices for seniors housing have never been so high.

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