The active adult and assisted living segments of seniors housing will be the biggest opportunities for investment in 2024, according to poll results shared in Partner Valuation Advisors’ US Seniors Housing 2023 Investor Survey Report, released Friday. It marks the company’s inaugural edition of the report.
PVA received more than 100 responses from those active within the senior living industry, including developers, lenders, investors and investment sales professionals.
Fifty-four percent of respondents said they see the biggest opportunities in active adult investments, and 13% of respondents said they see the biggest opportunities in assisted living. Thirteen percent said they see investment opportunities in other, unspecified areas of senior living.
“The growth of active adult communities is driven by a combination of demographic trends, changing preferences among baby boomers compared to the prior generation, and the limited amenities and services these communities offer,” according to the report authors.
The Baby Boom generation— with members born between 1946 and 1964 — is the second-largest generation in US history, with an estimated 76 million members now aged 58 to 77. As members of this generation continue to age, the active adult segment will “continue to expand and evolve to meet the needs and desires of retirees,” according to the report.
Meanwhile, the authors said, investment interest in assisted living is being driven by baby boomers’ expected longer lifespans, during which they likely will live with chronic health conditions. Advances in medical technology to diagnose and manage such conditions will enable more boomers to live with them, according to the report.
