Senior Housing National Report

Steadfast absorption sustains occupancy recovery. In the final three months of 2023, over 11,000 senior housing units were absorbed on net, a five-quarter high and far exceeding the trailing three-year average of 8,500 units per quarter. This allowed nationwide occupancy to reach 84.3 percent, according to NIC Map Data Service, just 110 basis points shy of its pre-pandemic baseline. Additionally, following 2022’s record-high 6 percent boost, the average rent across care levels lifted by 5.5 percent last year. Regionally, demand is strongest in the Sun Belt. Across the 22 major markets with occupancy rates above their respective pre-pandemic measures, two-thirds are in the region. Fully recovered occupancy throughout much of this area can be attributed to migration trends. Of the 10 markets with the most net in-migration  last year, all were located in the Sun Belt. Similar dynamics have also been noted in the Mid-Atlantic region. Across major metros here, the region welcomed more than 400,000 new residents over the last four years. This helped propel Mid-Atlantic occupancy to 90 basis points above its pre-pandemic standing.