Just under 40% of care homes have less than 80% occupancy, according to the latest analysis by specialist business property adviser, Christie & Co.
In its mid-year review of the care business property market, Christie & Co found 45% of respondents had seen occupancy levels recover but 39% had occupancy levels under 80%.
Christie & Co said average occupancy was showing signs of improvement but overall increases were slow with providers focused on maximising income from local authority or CCG funded clients with complex needs.
Strong buyer demand meant that pricing was holding up well, however, with multiple offers being routinely received, Christie & Co said.
Just under half (45%) of respondents believed values would increase during 2021, with 33% cent expecting little improvement.
One in five (20%) of operators are looking to sell this year, with 29% looking to buy.
Christie & Co also reported increased institutional interest as well growing interest from overseas capital, particularly European investors.
Richard Lunn, Managing Director at Christie & Co, said: “The pandemic has thrown a spotlight on the industry and, in many respects, has shown the importance of care provision in the UK. As a result, we have seen an increase in the demand for homes from providers looking to grow their portfolios.”
To read the full mid-year review, click here: https://www.christie.com/news-resources/publications/july-2021/care-mid-year-review-2021/