The Move, Season 1, Episode 3
About This Episode
In this eye-opening episode, Jarrod and Michael tackle one of the most urgent challenges in healthcare real estate: the senior housing shortage that’s unfolding right before our eyes.
The numbers are staggering. Every single day, approximately 11,400 Americans turn 65. But here’s the problem: we’re only building around 10,000 new senior living units per year. You don’t need a calculator to see that the math doesn’t work. The gap between what’s needed and what’s being built is growing wider by the day, creating a supply crisis with serious implications for families, communities, and investors alike.
So why isn’t more capital flowing into senior housing? Jarrod and Michael dive into the stigma that’s held this sector back — a perception problem that only intensified after COVID-19. But they argue that letting fear and outdated assumptions drive investment decisions means missing the bigger picture.
By understanding and articulating the true fundamentals driving senior housing demand, investors and developers can cut through the noise and see this sector for what it really is: an essential investment responding to an undeniable demographic reality.
If you’ve been hesitant about senior living investments, this episode will challenge your assumptions and show you why now is the time to take a closer look.
Key Themes and Takeaways
- Senior living supply can’t keep pace. Every day, approximately 11,400 Americans turn 65 — but we’re only building around 10,000 new senior living units per year. The gap between supply and demand is growing wider by the day.
- This is a supply crisis, not a demand problem. The senior housing shortage is unfolding in real time, with serious implications for families, communities, and investors who aren’t paying attention.
- Stigma is holding capital back. Outdated perceptions — intensified after COVID-19 — have kept many investors on the sidelines. But letting fear drive decisions means missing a fundamental demographic opportunity.
- Data cuts through the noise. Understanding and articulating the true fundamentals driving senior housing demand helps investors see past the stigma and recognize the sector for what it is: essential infrastructure for an aging population.
- Existing communities can’t compete. Many senior living facilities lack the modern amenities today’s consumers expect, making well-designed new developments increasingly attractive in the market.
- The track record speaks for itself. Senior living has historically outperformed other asset classes, and investors are beginning to recognize the potential as demographic tailwinds accelerate.
Chapters
- 00:00 – Introduction to Healthcare Real Estate
- 09:15 – Senior Living Market Challenges
- 13:32 – The Changing Landscape of Senior Living
- 19:38 – The Shift in Investor Perspectives
- 24:44 – Navigating the Challenges of Covid in Healthcare Development
About the Hosts
Jarrod Daddis is President and Managing Partner at NexCore Group, where he leads strategic and operational functions across the company’s eleven offices.
With 27 years of experience in healthcare, life sciences, and seniors housing real estate development, Jarrod has transacted billions of dollars in real estate while building lasting relationships with clients and colleagues.
Connect with Jarrod Daddis on LinkedIn.
Michael Ray is Chief Investment Officer at NexCore Group, where he leads the company’s investment and capitalization strategies.
With a background as a private equity attorney and real estate investment professional, Michael specializes in creating deal structures that drive strategic alignment and positive outcomes for physicians and capital partners alike.
Connect with Michael Ray on LinkedIn.