The construction of senior housing in the United States has declined to its lowest point in over a decade, coinciding with an increase in the older population it serves. This trend reflects a construction pipeline that is more responsive to financing costs than to the rising demand for senior living facilities.
The National Investment Center for Seniors Housing and Care reports that the number of senior housing units currently being built has fallen significantly. In 2023, the initiation of new projects dropped to fewer than 15,000 units, marking the lowest figure since 2010. The average construction time has also increased, extending from 21 months in 2017 to 29 months in 2023.
Despite the slowdown in construction, occupancy rates have risen for 19 consecutive quarters, reaching 89.5% in early 2026. The population of residents aged 60 and over in North Texas is projected to grow by 33.5% from 2019 to 2024, indicating a significant gap between supply and demand for senior housing.
This situation is compounded by high costs for labor and materials, which have led many developers to delay new projects, according to industry analysts.
