Nursing home inventory shrank, assisted living hit highest-ever growth rate, quarterly data shows

Share this article:

Assisted living inventory growth reached a historic high in the second quarter of 2014, while nursing home inventory continued its slight downward trajectory, according to data released Friday by the National Investment Center for the Seniors Housing & Care Industry.

Seniors housing construction has been moderate, and this trend continued in the second quarter, 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%. 

“But the resulting rates of inventory growth for independent living and assisted living are quite different,” Harry said. “Annual inventory growth for independent living registered only 0.5%, while 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.”

Inventory growth for nursing care was minus-0.1%, from minus-0.2% in the first quarter of the year. Nursing home occupancy was down slightly, going from 88.4% in the first quarter to 88.2% in the second.

Overall, seniors housing occupancy ticked up 0.1 percentage points, to reach 89.9%.

An improving economy likely is driving demand for seniors housing, NIC Chief Economist Beth Mace said. The unemployment rate reached its lowest levels since 2008 and household confidence is on the rise, she explained.

Share this article:

More in News

Also in the news for July 28, 2014

Nursing home aide accused of choking a resident....Monitoring pulse after stroke may prevent another stroke...Slow walking speed may predict dementia

Site-neutral payments likely to move forward, experts believe

Site-neutral payments likely to move forward, experts believe

As the Centers for Medicare & Medicaid Services and the Medicare Payment Advisory Commission evaluate site-neutral payments, a new brief from Health Affairs and the Robert Wood Johnson Foundation explores ...

Early intellectual stimulation may result in better cognition in older adults

Life experiences with intellectual stimulation may have more impact than demographic influences on cognitive abilities in older adults, researchers find.