By Mindy Berman, Managing Director at JLL
- U.S. seniors housing has been a magnet for global capital with $3.4 billion in investments in the last 10 years, most in the last five years. Canada leads the pack with 40% of the total investment activity, followed closely by Asia-Pacific at 35%.
- Chinese capital alone accounted for $2.6 billion in 2016 in North American healthcare properties including the $930 million investment by Cindat and Union Life for a 75% stake in a portfolio of Brookdale seniors housing and Genesis Healthcare post-acute care facilities owned by Welltower.
- Interest in U.S. medical office from global investors is on the rise as they seek diversification and yield plus a hedge against political and currency risk. It’s early innings, but it’s a hot topic with investors from Europe, Asia-Pacific, Middle East and the Americas for this formerly “alternative” asset class.
- JLL believes the time is ripe for a major medical office acquisition by a foreign investor given prior investment activity in large-scale U.S. seniors housing.
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