Assisted Living and Senior Care Facilities are a Good Investment
Excitement is growing around investment opportunities in the senior care and skilled nursing facilities market. Interest in real estate investment in this segment is driving buyers to senior housing and skilled nursing brokerage firms to take advantage. Why are assisted living and senior care facilities a good investment?
Unprecedented Growth is Driving Senior Housing Needs
America’s baby boomers are aging. In 2021, about 25 million seniors in this generation will reach 75+ years old. Within the next decade, they will join over nine million US seniors over 85 years old – the time in life when senior housing is needed. Statistics predict that from 2019 to 2040, the number of people in senior care facilities will more than double, from 6.6 million to 14.4 million. The need for independent living facilities will skyrocket due to this tremendous growth.
Lack of Supply in the Long-Term Care Facilities Market Offers a Prime Investment Opportunity
Currently, the senior housing and assisted living markets are undersupplied and struggling to keep up with demand. New construction dropped from 2008 to 2011, showcasing minimal growth through 2014. Construction slowed again during the pandemic, followed by a modest uptick in 2021. The purchase and renovation of existing senior care and skilled nursing facilities and the construction of new facilities now offer a prime opportunity - one of the best risk-adjusted investment prospects in the commercial sector and overall.
Senior Housing and Skilled Nursing Facilities Offer Strong Investment Performance Returns
Long-term care facilities offer a resilient investment. Senior care services are need-driven, not a discretionary choice. Social security ensures steady income in this segment. Employment and other economic factors impact this segment little, with severe inflation and the inability to sell residential real estate only moderately affecting the market.
In the years ahead, the outlook on senior housing makes it an excellent long-term investment opportunity. It offers significantly higher yield in total return on investment. Real estate appreciation is likewise high compared to other real estate investment types. Senior housing is the only commercial real estate asset class that saw positive rent growth during the 2007 market collapse and recession, remaining the number one performing sector for the past ten years.
Various Care Segments are Needed to Meet Growing Demand
Senior housing and care opportunities are plentiful, with high demand for many types of facilities:
· Independent living facilities
· Assisted living facilities
· Residential care facilities for the elderly
· Long-term care facilities
· Skilled nursing facilities
· Memory care facilities
Are You Interested in Purchasing an Assisted Living or Senior Care Facility?
Realizing success in this market requires the help of an experienced senior housing broker. This unique investment opportunity is more operationally complex and regulated than conventional real estate. Evans Senior Investments can help you through each stage of your journey.
· Join our preferred list to learn more about confidential investment opportunities
· Get matched with your ideal property – we offer a variety of financing options to help you meet your financial goals
· Get help along the way, streamlining operations while ensuring top-notch care, growing your facility into a thriving community with help from our housing development consultants
· Take advantage of our industry analytics and insight, maximizing available investment opportunities
· When it’s time to sell, take advantage of our in-depth market evaluations and confidential brokerage services, ensuring business stability and a smooth sal
Whether you’re just getting started or trying to diversify, assisted living and senior care facilities are a good investment. Don’t miss out on this prime opportunity. Contact Evans Senior Investments at 312-896-0123 to learn more about senior housing and skilled nursing facilities available in your area today.