Utilizing community-type data provided by the National Investment Center (NIC) for Q4 2024, we analyzed markets with over 1,000 units in the respective independent living, assisted living, and seniors housing segments to flesh out key trends both nationally and at the market level.

Key Takeaways from Q4:

• CONSTRUCTION: At the end of 2024, the national construction-to-inventory ratio for seniors housing across all NIC markets fell below 3.0% for the first time in over a decade. Although nearly all markets nationwide experienced a decline in construction activity, approximately 20 markets reported a year-over-year increase in development.

• RENT GROWTH: In 2024, the seniors housing sector experienced significant rent growth, with a 4.4% increase in average rent, surpassing major commercial real estate sectors nationwide. Among NIC’s 140 markets, tertiary markets in Florida and the West Coast led the nation in year-over-year rent growth.

• DEMAND: The number of occupied units increased for the 17th consecutive quarter nationwide, exceeding 1.02 million, which represents a 3.6% rise from the end of 2023. In total, an estimated 35,800 net new leases were signed for seniors housing units in 2024, aligning with the trailing three-year average.