The senior housing sector continues its upward trajectory, with occupancy improving for the 19th consecutive quarter, reaching 89.5 percent in first quarter 2026. Over the past 12 months, occupancy has increased by 230 basis points, maintaining a steady pace of approximately 50 basis points per quarter for more than two years. This consistent growth suggests that industry-wide occupancy is on track to surpass 90 percent later this year. Notably, stabilized properties already have exceeded 90 percent occupancy in first quarter, the first time since late 2017.
This quarter also marks the 19th consecutive period where absorption – the net change in occupied units – has outpaced inventory growth, driving sustained occupancy gains across the sector. While absorption typically trends lower in the first quarter 2026 saw an 8 percent increase compared to the same period in 2025, underscoring the sector’s resilience.
Historic lows in inventory growth
