The occupancy rate for senior housing facilities, although recovering, remains below pre-pandemic levels despite an aging population and eased COVID-19 restrictions. Analysts suggest that remote and hybrid work models have enabled more adults to care for their aging parents at home, delaying the need for expensive senior living accommodations. This trend is more pronounced in regions with high remote work rates, such as San Jose, San Francisco, and New York, while senior housing in areas with less remote work has seen better recovery. Other factors affecting occupancy include the declining housing market, which has made seniors hesitant to sell their homes, and a general preference for aging in place. Despite these challenges, the senior housing market holds potential for growth, driven by an upcoming surge in the aging population and their relative wealth. Some senior housing operators are exploring new, more affordable living models, and shares of major senior housing landlords like Welltower have seen significant gains. As remote work arrangements begin to decrease, the demand for senior housing may increase, highlighting the need for a balance between caregiving and professional responsibilities.

https://www.wsj.com/articles/is-work-from-home-to-blame-for-senior-housings-muted-recovery-abf702b