The senior living industry’s average occupancy rate continued to rise in the second quarter of 2024, nearly reaching levels last seen in 2020, according to the latest report from NIC MAP Vision. Operators in the 31 primary markets tracked by NIC MAP reached an average occupancy rate of 85.9%, up 50 basis points from the first quarter of the year. This marks 12 consecutive quarters of occupancy gains for the industry, with assisted living at 84.3% and independent living at 87.6%, both nearing their peak levels from 2020.
Independent living occupancy grew slightly faster than assisted living between the first and second quarters of 2024. The industry’s high demand and lower rates of new supply are expected to continue driving occupancy up through the end of the year. Key markets like Boston, Tampa, and Baltimore boasted the highest occupancy rates, while Houston, Las Vegas, and Miami had the lowest rates.
The number of occupied senior housing units hit a record in the second quarter, with a 4.4% increase compared to the same period in 2023. Inventory growth remained steady at a 1.5% increase, with the lowest number of units under construction and new starts reported since the 2009 financial crisis. Senior living companies continue to face challenges in obtaining construction financing, hindering the industry’s ability to meet future demand by 2030.
