Numbers suggest hope for occupancy rates - NH News Notes - National Investment Center for the Seniors Housing and Care Industries - Brief Article - Statistical Data Included

Nursing Homes, Feb, 2002 by Douglas J. Edwards

After months of worrisome shrinkage, new data from the National Investment Center for the Seniors Housing and Care Industries (NIC) point to a possible stabilization in the long-term care industry's occupancy rates.

During the third quarter of 2001, the assisted living occupancy rate did not drop-the first time that had happened in a year, according to the NIC's quarterly updated Key Financial Indicators. In the third quarter of 2000, the average occupancy rate for assisted living was 88.7% and declined to 85% by the second quarter of 2001, but remained at 85.5% through the third quarter. Nursing home occupancy rates were holding around 82 to 83% from the second to third quarter, and CCRCs were stabiizing around 90% or above.

Other numbers point to the possibility of housing demand catching up with supply, notes NIC Research Director Harvey N. Singer. Because there were few construction loans posted by major lenders in the third quarter, Singer concluded in a release, "This means that we will likely see a relatively low level of construction starts in the coming quarters."