Assisted living and memory care units have higher median occupancy rates than independent living and skilled nursing units both two and four years after opening, according to the National Investment Center for Seniors Housing & Care.
Eight quarters after opening, assisted living units and memory care units were tied for highest median occupancy rate, 88%, Lana Peck, senior principal; Anne Standish, research statistician and Beth Mace, chief economist, shared in a blog post. Those rates compare with 87% for nursing care and 84% for independent living.
After 16 quarters, the median occupancy for assisted living was 95%. Memory care followed at 94%, independent living was 93% and nursing care was the lowest, at 92%, they said.
The rates are based on a time series of leasing patterns collected by the NIC MAP Data Service over more than 12 years.
The pace of initial move-ins or leasing momentum is important because it helps determine the profitability of a project, according to the authors.
“A well-located and rapidly leased-up project can build forward momentum for steady demand, high occupancy and solid revenue growth and build a strong reputation in the trade area among potential residents and their adult child influencers,” they wrote.
Read the entire post here.