Although the pandemic definitely has upended the senior living market, at the end of 2020, confidence began to return and has only continued to grow in the first quarter. As a result, several investors in the seniors housing sector are predicting that business in the second and third quarters will be “very strong.”
That’s according to a Q&A discussion with Tim Cobb, investment sales lead for Berkadia’s Seniors Housing & Healthcare group.
“This year has demonstrated how critical safe, reliable care for seniors’ communities is, particularly as more adult children have had to help their aging parents through the pandemic and have realized that they need assistance,” Cobb said. “We’re optimistic that the pandemic will give legislators a better understanding of the importance of giving operators the tools they need to provide a safe level of care.”
He also noted that the firm is waiting to see whether the pandemic will accelerate the push for a government-reimbursed component for private-pay seniors housing. It’s a topic the industry has talked about for years, he noted, and it would bring with it the potential for more government oversight. It would have a dramatic effect on the industry, however.
“While these discussions are already being accelerated, I think 2021 will lay the groundwork with real progress after a vaccine,” he said.
