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Walker & Dunlop’s New Seniors Housing Report Shows Growth, Investment Opportunities and Increased Demand

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Walker & Dunlop, a leader in seniors housing financing, has released its 2024 Seniors Housing Outlook report, highlighting growth opportunities and increased demand in the sector. The report comes as demographic shifts project that one in five Americans will be 65 or older by 2050, up from 17% in 2020. This demographic change is expected to boost demand for seniors housing significantly.

The report notes that while the industry faces challenges such as rising operational costs and regulatory complexities, it also presents opportunities for innovation in technology and new service offerings. Operational performance in 2024 shows improvement, with increasing occupancy rates and gradually improving profit margins, although not yet at pre-pandemic levels. Rent growth has been a key factor in driving revenue.

Walker & Dunlop has closed $600 million in seniors housing through Q2 2024, involving 28 assets across 11 states, totaling 2,955 units. An additional $361 million is under agreement. The company will be showcasing the report at the NIC Conference in Washington, DC, starting September 23, 2024.

Walker & Dunlop, leader nel finanziamento di abitazioni per anziani, ha pubblicato il suo Rapporto sulle Prospettive delle Abitazioni per Anziani 2024, evidenziando le opportunità di crescita e la domanda crescente nel settore. Il rapporto arriva in un momento in cui i cambiamenti demografici prevedono che uno su cinque americani avrà 65 anni o più entro il 2050, rispetto al 17% nel 2020. Questo cambiamento demografico dovrebbe portare a un aumento significativo della domanda di abitazioni per anziani.

Il rapporto sottolinea che, sebbene l'industria affronti sfide come l'aumento dei costi operativi e complessità normative, presenta anche opportunità per l'innovazione tecnologica e nuove offerte di servizi. Le prestazioni operative nel 2024 mostrano miglioramenti, con tassi di occupazione in crescita e margini di profitto in graduale miglioramento, anche se non ancora ai livelli pre-pandemia. La crescita degli affitti è stata un fattore chiave nel generare entrate.

Walker & Dunlop ha concluso 600 milioni di dollari in abitazioni per anziani fino al secondo trimestre del 2024, coinvolgendo 28 asset in 11 stati, per un totale di 2.955 unità. Ulteriori 361 milioni di dollari sono in fase di accordo. L'azienda presenterà il rapporto alla Conferenza NIC a Washington, DC, a partire dal 23 settembre 2024.

Walker & Dunlop, líder en financiamiento de viviendas para personas mayores, ha publicado su Informe sobre las Perspectivas de Viviendas para Mayores 2024, destacando las oportunidades de crecimiento y el aumento de la demanda en el sector. El informe llega en un momento en que los cambios demográficos proyectan que uno de cada cinco estadounidenses tendrá 65 años o más para 2050, frente al 17% en 2020. Este cambio demográfico se espera que impulse la demanda de viviendas para mayores de manera significativa.

El informe señala que, aunque la industria enfrenta desafíos como el aumento de los costos operativos y la complejidad regulatoria, también presenta oportunidades para la innovación tecnológica y nuevas ofertas de servicios. El rendimiento operativo en 2024 muestra mejoras, con tasas de ocupación en aumento y márgenes de beneficio que mejoran gradualmente, aunque aún no se hallan en niveles previos a la pandemia. El crecimiento de los alquileres ha sido un factor clave para impulsar los ingresos.

Walker & Dunlop ha cerrado 600 millones de dólares en viviendas para mayores hasta el segundo trimestre de 2024, involucrando 28 activos en 11 estados, totalizando 2,955 unidades. Un adicional de 361 millones de dólares está bajo acuerdo. La compañía presentará el informe en la Conferencia NIC en Washington, DC, a partir del 23 de septiembre de 2024.

Walker & Dunlop은 노인 주택 금융 분야의 선두주자로서 2024년 노인 주택 전망 보고서를 발표하며 이 분야의 성장 기회와 증가하는 수요를 강조했습니다. 이 보고서는 2050년까지 미국인의 5명 중 1명이 65세 이상이 될 것이라는 인구 통계 변화가 예상됨에 따라 발표되었습니다. 이는 2020년 17%에서 증가한 수치입니다. 이러한 인구 변화는 노인 주택에 대한 수요를 크게 증가시킬 것으로 예상됩니다.

보고서는 업계가 증가하는 운영 비용과 규제 복잡성과 같은 도전에 직면해 있지만, 기술 혁신 및 새로운 서비스 제공을 위한 기회를 제공함을 지적합니다. 2024년 운영 실적은 점진적으로 개선되는 수익률과 증가하는 점유율로 개선되었습니다. 그러나 여전히 팬데믹 이전 수준에는 미치지 못하고 있습니다. 임대료 상승은 수익 증가의 핵심 요소로 작용했습니다.

Walker & Dunlop은 2024년 2분기까지 노인 주택에 대해 6억 달러를 마감했습니다, 11개 주에서 28개 자산을 포함하여 총 2,955개 유닛입니다. 추가로 3억 6100만 달러가 계약 중입니다. 이 회사는 2024년 9월 23일부터 워싱턴DC에서 열리는 NIC 콘퍼런스에서 이 보고서를 발표할 것입니다.

Walker & Dunlop, un leader dans le financement des logements pour personnes âgées, a publié son Rapport sur les Perspectives des Logements pour Seniors 2024, mettant en avant les opportunités de croissance et une demande accrue dans le secteur. Ce rapport arrive alors que les changements démographiques prévoient que une personne sur cinq en Amérique sera âgée de 65 ans ou plus d'ici 2050, contre 17 % en 2020. Ce changement démographique devrait considérablement accroître la demande de logements pour personnes âgées.

Le rapport note que, bien que l'industrie fasse face à des défis tels que l'augmentation des coûts opérationnels et des complexités réglementaires, elle présente également des opportunités d'innovation en matière de technologie et de nouvelles offres de services. La performance opérationnelle en 2024 montre une amélioration, avec des taux d'occupation en hausse et des marges bénéficiaires s'améliorant progressivement, même si elles ne sont pas encore revenues aux niveaux d'avant la pandémie. La hausse des loyers a été un facteur clé pour générer des revenus.

Walker & Dunlop a clôturé 600 millions de dollars en logements pour seniors jusqu'au deuxième trimestre 2024, impliquant 28 biens dans 11 États, totalisant 2 955 unités. Un montant supplémentaire de 361 millions de dollars est en cours d'accord. L'entreprise présentera le rapport lors de la conférence NIC à Washington, D.C., à partir du 23 septembre 2024.

Walker & Dunlop, ein führendes Unternehmen in der Finanzierung von Seniorenwohnungen, hat seinen Bericht über die Perspektiven der Seniorenwohnungen 2024 veröffentlicht, der Wachstumschancen und eine steigende Nachfrage im Sektor hervorhebt. Der Bericht erscheint zu einem Zeitpunkt, an dem demografische Veränderungen projizieren, dass einer von fünf Amerikanern bis 2050 65 Jahre oder älter sein wird, gegenüber 17 % im Jahr 2020. Diese demografische Veränderung wird voraussichtlich die Nachfrage nach Seniorenwohnungen erheblich steigern.

Der Bericht weist darauf hin, dass die Branche zwar Herausforderungen wie steigende Betriebskosten und regulatorische Komplexitäten gegenübersteht, aber auch Chancen für Innovationen im Bereich Technologie und neue Dienstleistungsangebote bietet. Die operative Leistung im Jahr 2024 zeigt Verbesserungen, mit steigenden Belegungsraten und allmählich verbesserten Gewinnmargen, auch wenn diese noch nicht auf dem Niveau vor der Pandemie sind. Das Wachstum der Mieten war ein Schlüsselfaktor für die Umsatzsteigerung.

Walker & Dunlop hat bis zum 2. Quartal 2024 600 Millionen Dollar in Seniorenwohnungen abgeschlossen, mit 28 Objekten in 11 Bundesstaaten und insgesamt 2.955 Einheiten. Weitere 361 Millionen Dollar befinden sich in Verhandlung. Das Unternehmen wird den Bericht auf der NIC-Konferenz in Washington, DC, ab dem 23. September 2024 präsentieren.

Positive
  • Increasing demand for seniors housing due to demographic shifts
  • Steady increase in occupancy rates
  • Rent growth driving revenue for operators
  • $600 million in seniors housing deals closed through Q2 2024
  • Additional $361 million under agreement
Negative
  • Operational performance still lags behind pre-pandemic levels
  • Rising operational costs in the industry
  • Regulatory complexities posing challenges

Insights

The seniors housing sector is poised for significant growth, driven by compelling demographic trends. With projections indicating that one in five Americans will be 65 or older by 2050, up from 17% in 2020, the demand for seniors housing is set to surge. This demographic shift presents substantial investment opportunities in infrastructure and services.

Walker & Dunlop's market activity underscores this trend, with $600 million in seniors housing deals closed through Q2 2024, involving 28 assets across 11 states. An additional $361 million under agreement further highlights the sector's momentum. The improving operational performance, including rising occupancy rates and gradual profit margin recovery, signals a market on the rebound from pandemic-induced challenges.

However, investors should note the sector faces headwinds such as rising operational costs and regulatory complexities. The emphasis on innovation, particularly in technology adoption and new service offerings, suggests a dynamic market landscape that requires strategic positioning to capitalize on emerging opportunities.

The seniors housing market is showing promising financial indicators that warrant investor attention. Occupancy rates are on an upward trajectory, driven by strong demographic trends and inventory growth. This supply-demand dynamic is favorable for property valuations and potential ROI.

Revenue growth is primarily fueled by rent increases, which is helping operators offset rising costs. However, profit margins, while improving, have not yet reached pre-pandemic levels, indicating there's still room for financial optimization in operations.

Walker & Dunlop's transaction volume of $600 million in H1 2024, with an additional $361 million under agreement, suggests robust investor appetite and liquidity in the market. This level of activity could lead to increased competition for prime assets, potentially driving up valuations in desirable locations.

Investors should consider the long-term growth potential of this sector, balanced against the need for operational efficiency and innovation to maintain profitability in the face of rising costs and regulatory challenges.

BETHESDA, Md.--(BUSINESS WIRE)-- As the leader in financing for seniors housing, Walker & Dunlop, Inc. shares emerging market trends and vital landscape analysis in its newly published Seniors Housing Outlook, “Navigating Growth, Innovation, and Investment in a Transforming Market”. The publication comes at a crucial time as this sector experiences significant demographic shifts and evolving healthcare needs for an aging population that continues to expand quickly.

By 2050, it is projected that one in five Americans will be 65 or older, up from 17 percent in 2020. This increase will significantly boost demand for seniors housing, creating both opportunities and challenges for industry stakeholders. Investment opportunities will be especially robust as need for infrastructure and services rise.

“We are seeing incredible growth and interest in the seniors housing sector,” said Ken Buchanan, executive vice president of FHA Finance at Walker & Dunlop. “Although the industry faces rising operational costs, regulatory complexities, and the need for enhanced resident care strategies, it is also ripe with possibilities in innovation, particularly in technology adoption and new service offerings.”

Operational Performance Insights:

  • Operational performance in the seniors housing market has shown signs of improvement in 2024, but it still lags behind pre-pandemic levels.
  • Occupancy rates have been steadily increasing, driven by strong demographic trends and limited inventory growth.
  • Profit margins are gradually improving, though they have not yet returned to pre-pandemic levels.
  • Rent growth has played a significant role in driving revenue, helping operators offset rising costs

Walker & Dunlop has closed $600 million in seniors housing through the second quarter of this year involving 28 assets across 11 states, totaling 2,955 units, with an additional $361 million under agreement.

Walker & Dunlop will be showcasing the report and expertise at the NIC Conference in Washington, DC that starts today, September 23, 2024. The team will be available to discuss the latest market trends, share strategic insights, and explore opportunities with industry professionals.

"We look forward to connecting with both new and familiar stakeholders at the NIC Conference,” said Josh Jandris, managing director of Investment Sales at Walker & Dunlop. "As we look ahead, the future of seniors housing is set for significant transformation. Continued investment in infrastructure and services, coupled with a focus on addressing the diverse needs of an aging population, will be crucial for sustaining growth in this market."

For insights on seniors housing and to explore key trends shaping the market, download Walker & Dunlop’s 2024 Seniors Housing Outlook report here.

About Walker & Dunlop

Walker & Dunlop (NYSE: WD) is one of the largest commercial real estate finance and advisory services firms in the United States. Our ideas and capital create communities where people live, work, shop, and play. The diversity of our people, breadth of our brand and technological capabilities make us one of the most insightful and client-focused firms in the commercial real estate industry.

Investors:

Kelsey Duffey

Investor Relations

Phone 301.202.3207

investorrelations@walkeranddunlop.com



Media:

Nina H. von Waldegg

VP, Public Relations

Phone 301.564.3291

info@walkeranddunlop.com

Phone 301.215.5500

7272 Wisconsin Avenue, Suite 1300

Bethesda, Maryland 20814

Source: Walker & Dunlop, Inc.

FAQ

What are the key findings in Walker & Dunlop's 2024 Seniors Housing Outlook report?

The report highlights significant growth opportunities, increased demand due to demographic shifts, improving occupancy rates, and gradual improvement in profit margins. It also notes challenges such as rising operational costs and regulatory complexities.

How much has Walker & Dunlop (WD) invested in seniors housing in 2024?

Walker & Dunlop has closed $600 million in seniors housing through the second quarter of 2024, involving 28 assets across 11 states, totaling 2,955 units. They also have an additional $361 million under agreement.

What demographic trends are driving the seniors housing market according to Walker & Dunlop's report?

The report projects that by 2050, one in five Americans will be 65 or older, up from 17% in 2020. This significant demographic shift is expected to boost demand for seniors housing substantially.

Where is Walker & Dunlop (WD) showcasing their 2024 Seniors Housing Outlook report?

Walker & Dunlop is showcasing the report at the NIC Conference in Washington, DC, starting September 23, 2024.

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