Senior Housing Sees Gains Across the Board

CALABASAS, CA—The senior housing market is firing on all cylinders for the first time in several years, Marcus & Millichap says in a research report charting the outlook for the first half of 2014. Aside from the obvious driver—an aging population—other factors underpinning performance gains include a resurgent housing market, healthy employment growth and disciplined development, MMI says.

“Fueled by low interest rates, home appreciation was primarily responsible for lifting occupancy at CCRCs during 2013, particularly in the fourth quarter,” according to the report. “Seniors able to unlock home equity are more likely to sell in the current market,” a fact that mitigates against the high costs of moving into an entrance-fee continuing care retirement community.