REITs Sheltered from Skilled Nursing Headwinds—For Now

Meaningful headwinds are currently impacting skilled nursing facility (SNF) operators, with little chance of abating any time soon. Still, there’s scarce reason to expect sector-wide bankruptcies, as occurred less than 20 years ago. And despite its recent downward revision of HCP Inc.’s (NYSE: HCP) rating outlook, most health care real estate investment trusts (REITs) remain […]

Providers Revamp Independent Living to Meet Demand

New development isn’t the only way to meet an uptick in demand for independent living in the post-recession era. These days, higher occupancy rates and aging buildings are driving more providers to revamp existing properties to attract today’s seniors. Given that independent living and continuing care retirement communities (CCRCs) were predicted to lead the way in terms […]

Senior Housing Braces for Impact of Fed Rate Hike

Those waiting on bated breath for interest rates to rise finally got an answer Wednesday after the Federal Reserve announced it would aim to increase its benchmark interest rate, potentially cooling down a hot senior housing market. The historic move is a positive sign for the economy—which the Central Bank has deemed strong enough to […]

Higher Occupancy to Drive CCRC Expansions in 2016

It appears that continuing care retirement communities (CCRCs) are in for another strong year. Coming off a rebound in 2015, nonprofit CCRCs are expected to continue robust financial performances and high occupancy levels, a 2016 outlook from statistical rating organization Fitch Ratings revealed. Fitch analysts noted that while CCRCs took a beating during the economic downturn, […]

Senior Housing Finance Activity: SQLC Surpasses $1 Billion in Financing

Senior Quality Lifestyles Corporation Surpasses $1 Billion in Financing Since 1999 Dallas-based senior living community developer Senior Quality Lifestyles Corporation has surpassed $1 billion in financing since it was founded in 1999. In 2015 alone, SQLC has secured more than $254 million in new funds for expansion, upgrades and refinancings of several of its continuing […]

Editor’s Picks: REIT Hospital Plays, Boggles the Dog

This week on Senior Housing News, readers explored the various ways that the “Big Three” senior housing REITs are taking aim at the hospital system. They also learned the truth about oversupply risks in certain markets and discovered how power players can successfully expand into new regions. Here in the newsroom, we’re melting over Boggles, […]

Profitability Rises As CCRC Bounce-Back Continues

After taking a hammering in the economic downturn, continuing care retirement communities (CCRCs) appear to be recovering along with the broader economy. CCRC performance is expected to remain steady through the end of the year and into 2016, and outlook for the sector is stable for the third consecutive year, according to a report released […]

Acquisition Treadmill Presents Problems for Big 3 REITs

The growth of the Big Three health care REITs is clear, as they have flooded the senior housing space with a slew of recent deals. But this continued rapid growth highlights risks that may force REITs to change their investment strategies, Fitch Ratings suggests. Recently, the REITs have shuffled the industry with billion-dollar transactions focused […]

Big 3 REIT Merger: Now’s the Time to Strike

If there’s going to be a merger among the “Big 3” healthcare REITs, now’s the time to strike while the proverbial iron is hot, says a recent Bloomberg article. The Big 3 REITs—Ventas, HCP, and Health Care REIT—have played starring roles in many of the past few years’ senior living acquisitions, spending billions on (or with) […]

Brookdale Merger Endangers Healthcare REITs’ Growth Potential

Healthcare REITs may start losing their competitive edge as a result of more harm than benefit stemming from the Emeritus-Brookdale merger announced last week. Historically, high credit ratings have given these REITs access to lower costs of capital, says global ratings giant Fitch in its outlook on the acquisition. But real estate investment trusts focused […]