AL supply up, SNFs in decline
Nursing home inventory is continuing its slow but steady downward trajectory, according to quarterly data released in July by the National Investment Center for the Seniors Housing & Care Industry.
The well-established trend of increasing interest in assisted living and decreasing demand for nursing care continued: Assisted living inventory growth reached a historic high in the second quarter of 2014.
Seniors housing construction overall continues to be moderate, noted Charles W. Harry Jr., NIC's managing director and director of research and analytics. The annual inventory growth rate for the quarter was 1.5%.
“Assisted living's inventory grew by 3.1% and marks its fastest rate of growth ever within the NIC MAP® time series, which dates back to 2007,” Harry stated.
Inventory growth for nursing care was minus–0.1%, slightly stronger than the minus–0.2% that was posted in the first quarter of the year.
Nursing home occupancy dipped from 88.4% in the first quarter to 88.2%.