Non-Profit CCRCs Can Expect Tailwinds to Persist Into 2019

The 12-month outlook ahead for non-profit continuing care retirement communities (CCRCs) looks steady, with continued demand for this type of senior living. Specifically, non-profit CCRCs are expected to benefit from favorable demographic trends and healthy residential real estate markets, both of which are pushing up demand for those communities, according to a new report from Fitch Ratings. […]

CCRC Margins, Liquidity Improve Despite Operational Challenges

Liquidity and overall margins have improved for U.S. continuing care retirement communities (CCRCs), driven in large part by strong investment returns. For the 102 CCRCs that Fitch Ratings has deemed investment grade, the median net operating margin decreased slightly between 2016 and 2017, dropping from 7.9% to 7.2%. However, the excess margin jumped from 1.7% […]

Senior Housing REITs to Ride Out the Storm of 2017

After a year marked by up-and-down transaction volume, senior housing real estate investment trusts (REITs) may be gearing up for a buying rebound in 2017—but don’t expect them to acquire Brookdale Senior Living (NYSE: BKD). That’s one prediction for what the year ahead will hold for the big three health care REITs, Ventas Inc. (NYSE: VTR), […]

Fitch: CCRCs to Wield Pricing Power in 2017

Performance should be solid for nonprofit continuing care retirement communities (CCRCs) in 2017, with more pricing power able to offset challenges in areas such as labor, according to a new report from Fitch Ratings. “I think the sector is in a good spot,” Fitch Analyst Jim LeBuhn, one of the report authors, told Senior Housing […]

Fitch: REITs Poised for a Solid 2017

Despite higher interest rates on the way, equity real estate investment trusts (REITs) are likely to be on solid footing in 2017, according to a recent report. This means the market outlook is good for several REITs with senior housing portfolios, including the industry’s “Big Three” health care REITS— HCP Inc. (NYSE: HCP), Ventas Inc. […]

Chinese Firm to Buy Stake in Canadian Provider for Reported $744 Million

Chinese investors have played major roles in recent blockbuster senior housing deals in the United States, and now the action is spreading north of the border. Beijing-based Anbang Insurance Group is poised to buy a majority stake in Vancouver-based Retirement Concepts for a reported $744 million. While confirming the deal is underway, Retirement Concepts has […]

How State Elections Are Influencing Senior Housing

In addition to the presidential election that took place on Nov. 8, the public also cast their votes on many new laws and officials that will force change on the state level—including for senior housing. There were 44 states that held legislative elections and 86 of 99 chambers were up for election. Industry association Argentum […]

Foreign Investors, Private Equity Snapping Up Senior Housing Real Estate

With strong tailwinds buoyed by promising demographics, the U.S. senior housing industry has become very attractive not only to the traditional buyers of health care real estate, but also increasingly to private equity and overseas investors. As health care real estate investment trusts continue to make strategic dispositions and refocus their portfolios, foreign capital is seizing acquisition […]

Birth of a REIT: Taking Stock of HCP and Its Spin Off

The skilled nursing spin-off of real estate investment trust HCP Inc. (NYSE: HCP) officially has been completed and is set to begin regular trading on Nov. 1. While early trading will send some signals about what investors think of the spin-off, the success for Irvine, California-based HCP and its new entity, Quality Care Properties (QCP), will be determined […]