Survey: Investors Still Looking to Buy Seniors Housing Despite Pandemic

by Jeff Shaw

CHICAGO — Despite the economic devastation caused by the COVID-19 outbreak in the United States, 86 percent of investors are still seeking opportunities to acquire seniors housing properties, according to a survey conducted by Heavenrich & Co.

The Chicago-based seniors housing investment brokerage conducted the survey from April 15 to April 20, contacting 448 owners, operators and investors throughout the United States.

Not only are investors still interested in buying, many are looking to pick up their acquisition pace. More than half of respondents expect to spend the same or more on acquisitions over the next 12 months compared with the previous 12 months. Although everyone has felt the disruption of the global pandemic, more than 75 of respondents expect their strategies to return to normal within the next year.

“We’re delaying acquisitions, but barring catastrophic experience at a target [acquisition], our strategy remains same,” according to one senior vice president at a Midwest-based private equity firm, who submitted the comment anonymously to the survey.

The greatest concerns of respondents right now are keeping liquidity in the market and the potential for falling occupancy rates during the crisis. Of the respondents, the vast majority — 91 percent — are seeking value-add acquisition opportunities.

Click here to read the full survey.

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