Senior Living M&A Activity Slows in Q1 After Record Q4

Senior living merger and acquisition activity slowed in the first quarter of 2022 after record transaction volumes in 4Q21.

There were 127 publicly announced senior housing and care deals in 1Q2022, representing a decline of 9% compared with the previous quarter’s record-breaking total of 140 transactions, according to data from Irving Levin Associates.

While dealmaking fell in the first quarter, the total number of deals in that period still registered 51% higher than the 84 public deals recorded in the same quarter in 2021.


Transaction volume totaled $3.87 billion in the first quarter, a 2% decline from the $3.94 billion seen in the fourth quarter of 2021.

Irving Levin tracked a total of 35 portfolio deals with at least three properties per deal announced in the first quarter of 2022, which is ​​more than any quarter since the pandemic started.

Leading the pack in that regard was Welltower (NYSE: WELL), which expanded its partnership with StoryPoint Senior Living in a $548 million acquisition of 33 communities in March. In the deal, the Toledo, Ohio-based real estate investment trust (REIT) acquired the communities in Michigan, Ohio, and Tennessee at an approximate rate of $196,000 per unit.


REITs like Welltower, along with private equity and private real estate investment firms, accounted for more than one-third of transactions in the first quarter. Private equity made up 13% of buyers in the quarter.

Irving Levin’s latest data release comes as some investors are optimistic that the industry will bounce back to pre-Covid levels in the next 18 to 24 months. According to a recent CBRE Seniors Housing & Care Investor Survey, more than one-third of respondents identified the active adult sector as the best opportunity for investments in 2022.

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