ADDED
Further, according to the Congressional Budget Office, life expectancy is expected to increase to 82.3 years in 2055 from 78.9 years in 2025.
We expect the nursing home and senior housing industries to benefit from this projected demand growth combined with a favorable supply backdrop as skilled nursing and transitional care capacity has been declining and new senior housing construction has slowed down over the past five years.
According to the National Health Expenditure Projections for 2024-2033 published by the Centers for 4 Medicare Medicaid Services ( CMS ), nursing home expenditures are projected to grow from approximately $229 billion in 2024 to approximately $386 billion in 2033, representing a compounded annual growth rate of 6.0%.
According to the CMS National Health Expenditure Projections for 2024-2033, hospital care expenditures are projected to grow from approximately $1.7 trillion in 2024 to approximately $2.7 trillion in 2033, representing a compounded annual growth rate of 5.5%.
While the factors described above indicate projected growth for our industry, increases in operating expenses, inflation and increased volatility in public equity and fixed income markets have led to increased costs and limited the availability of capital.
Some of our competitors have different investment objectives - particularly those who are not solely real estate buyers - and/or are significantly larger and have greater financial resources and lower costs of capital than we do.
As of December 31, 2025, our investment portfolio consisted of 360 real estate properties held for investment, 13 investments in loans receivable, four preferred equity investments and two investments in unconsolidated joint ventures.
Of our 360 properties held for investment as of December 31, 2025, we owned fee title to 356 properties and title under ground leases for four properties.
(2) Investment balance in Canada is based on the exchange rate as of December 31, 2025 of 0.7295 per 1 CAD.
Senior Housing - Managed Structure As of December 31, 2025, our real estate properties held for investment included 87 Senior Housing - Managed communities operated by third-party property managers pursuant to property management agreements.
REMOVED
Further, according to the Congressional Budget Office, life expectancy is expected to increase to 82.2 years in 2054 from 78.7 years in 2024.
According to the National Health Expenditure Projections for 2023-2032 published by the Centers for Medicare Medicaid Services ( CMS ), nursing home expenditures are projected to grow from approximately $209 billion in 2023 to approximately $337 billion in 2032, representing a compounded annual growth rate of 5.4%.
According to the CMS National Health Expenditure Projections for 2023-2032, hospital care expenditures are projected to grow from approximately $1.5 trillion in 2023 to approximately $2.4 trillion in 2032, representing a compounded annual growth rate of 5.3%.
While the factors described above indicate projected growth for our industry, increases in interest rates, labor shortages, inflation and volatility in public equity and fixed income markets have led to increased costs and, at times, limited the availability of capital.
These factors, together with the impact of COVID-19, have resulted in decreased occupancy and increased operating costs for our tenants and borrowers, which have negatively impacted their operating results.
Some of our competitors are significantly larger and have greater financial resources and lower costs of capital than we do.
As of December 31, 2024, our investment portfolio consisted of 364 real estate properties held for investment, 14 investments in loans receivable, five preferred equity investments and two investments in unconsolidated joint ventures.
Of our 364 properties held for investment as of December 31, 2024, we owned fee title to 360 properties and title under ground leases for four properties.
(2) Investment balance in Canada is based on the exchange rate as of December 31, 2024 of 0.6958 per 1 CAD.
Senior Housing - Managed Structure As of December 31, 2024, our real estate properties held for investment included 69 Senior Housing - Managed communities operated by 11 third-party property managers pursuant to property management agreements.