The senior living forecast looks sunny for investors, developers and staff; here's why.

Amid worldwide economic volatility, there's a sunny forecast for the senior living industry. That's good news for owners of senior housing communities and the current challenges they face, as well as developers who have an opportunity to capitalize on an anticipated wave of demand across several sectors in the coming years.

The 2023 SHN/Lument Senior Living Outlook Survey 2023 gives industry professionals, and the design-build firms that support them, reason to look toward the future with optimism. To say the past few years have been a challenge for the industry is frankly an understatement. Senior housing owners and developers, as well as the professionals who keep operations humming, have weathered some serious storms recently, including a global pandemic that posed particular risk to senior housing residents, a labor crunch, and the same economic and inflationary pressures we've all been navigating. Yet 79% of respondents to the survey — all of whom work in senior living and care — say their outlook is somewhat positive or very positive.

Here are some of the survey findings that show optimism in the industry.

• The majority of respondents expect occupancy rates will increase in every sector of senior housing in 2023.
• Almost half of respondents in the know say their organization expects to acquire senior housing assets this year. At the top of their wish lists: active adult, assisted living and independent living.
• The bulk of respondents (62%) say staffing continues to be their number one pain point. But most respondents (52%) anticipate some relief from the current labor squeeze, with pressure lessening late this year or next.
• Most respondents believe national occupancy rates will increase for independent living (64%), assisted living (74%), memory care (79%), CCRC (45%) and active adult (69%) communities. Nursing/post-acute rehab was a bit of a toss-up between those who believe occupancy will increase (36%), remain the same (38%) or decrease (26%).
• Almost half of qualified survey respondents (48%) reported that their organization intends to acquire senior housing assets this year.
• ?More than half (55%) of the respondents believe new senior housing construction starts will remain the same or increase this year over 2022.
• Senior living investors show the greatest optimism for the active adult, assisted living and independent living sectors in 2023.
• Most survey respondents (a combined 90%) believe occupancy will return to pre-pandemic levels sometime between now and the end of 2024.

For senior housing communities in Minnesota and Wisconsin looking to grow in 2023 and beyond, it's important to start the process early to determine the best way to capture the potential on the horizon. Whether you're planning to reposition existing senior living properties for the underserved middle-market, expand current assets to meet increased demand, or renovate existing offerings to gain a competitive foothold in the marketplace, a design and build firm like DBS Group can help you control costs, streamline construction timelines and make the most of this optimistic environment so you're well positioned for whatever lies ahead.??