According to these experts, seniors housing is not for the faint at heart but is lucrative when done right and ripe for the next few decades.
“Seniors housing is very much an operationally intense industry,” Bell admits. “In fact, it may be more of an operating business than real estate. The biggest and best senior housing companies that we’ve seen are focused exclusively on this sector, and I suspect that will not change.”
“It is so intense to operate these properties, you’re delivering food service, housekeeping, transportation, healthcare in some cases. It’s a very different business from multifamily,” Shamberg says.
In calculating future demand for seniors housing, one might wish to factor in a bit for those who will possibly be more stuck aging in place in their McMansions then they would otherwise wish to be. See: The Great Senior Sell-Off Could Cause the Next Housing Crisis.
Some of that might (likely) be more about location rather than the size of the home. Here’s a piece by Diana Olick from December 17, 2012: McMansions Return: Why Big Houses Are Coming Back.
There’s a bit of competition amongst publishers on such issues though. See #2 in this post: 4 Current Myths About the Real Estate Market?