The latest update from NIC MAP Vision shows that senior living rental rates are continuing to grow at a near-record pace.
According to NIC Principal Omar Zahraoui, rental rates for independent living, assisted living, and memory care have maintained near-record highs since the beginning of 2023.
In 2023, memory care had the largest rate increase, reaching an average asking rate of $8,249 as of September, which represents a 7.2% gain this year.
Independent living asking rates grew by 8% on average as of September, while assisted living operators increased asking rates by 7.9% to an average of $6,190.
Zahraoui expects that the pace of growth in rates will align with inflation at some point in 2024. This increase in rates is likely a sign of the industry’s recovery from the Covid pandemic.
The report also indicates that the move-in rate is outpacing the move-out rate, resulting in a bolstering of occupancy recovery.
Overall, the rate increases are in line with what operators previously reported, ranging from 6% to 10%. Operators also mentioned that there is an “art” to rate increases, and the number depends on the number of available units.
