1204 ET - Senior housing construction is at a 10-year low, allowing real estate investment trusts to gain leverage, Mizuho analyst Vikram Malhotra says in a note. According to the National Investment Center's second-quarter update, inventory growth fell to 0.8% while occupancy rose, suggesting demand is outperforming seasonal trends. A difficult lending environment combined with tariffs also make new construction unlikely to pick up, Malhotra says. That's all good news for the pricing power of senior housing facility operators, including Welltower and Ventas, which Mizuho continues to rate as outperform. In the second quarter, asking rent growth sped up for the first time in two years. (nicholas.miller@wsj.com)
(END) Dow Jones Newswires
July 11, 2025 12:04 ET (16:04 GMT)
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