Ninety-two percent of senior living executives said merger and acquisition activity will go up over the next year, with 37% listing acquisition of existing properties as their top choice.
Repositioning older properties captured 25% of the tally, while 24% of respondents said new growth was their chief strategy.
“The outlook for seniors housing is strong, with M&A activity expected to continue into 2018,” said Chris Taylor, Managing Director at Capital One Healthcare. “While many trends are dependent on the specific region or sub-market, there’s an overall optimism that continues to attract new investors to the industry.”
Real estate term loans will be the primary driver of financing, the survey said. Construction loans were cited by 28% of respondents as their principal financing need.
