The Motley Foolยท2025-09-19 08:30Core Viewpoint - The healthcare REIT sector, particularly senior housing property owners like Welltower and Ventas, is poised for significant growth as demographic trends shift and the impact of the pandemic recedes [1][2]. Group 1: Impact of COVID-19 - The coronavirus pandemic severely affected senior housing properties, leading to increased move-outs, low move-ins, and declining occupancy levels [3][5]. - Welltower and Ventas had to adapt by cutting dividends and focusing on tenant survival during the pandemic [3][5]. Group 2: Recovery and Growth Potential - As the world adjusts to living with COVID-19, the senior housing segment is expected to experience growth, with the population aged 80 and older projected to grow at a rate of 5% starting in 2026 [8]. - The construction of new senior housing units is at historically low levels, creating a supply-demand imbalance that is likely to benefit Welltower and Ventas [9]. Group 3: Financial Performance and Dividend Growth - The performance of SHOP assets in Welltower's and Ventas' portfolios is expected to enhance their financial results as industry performance improves [10]. - Both companies have resumed dividend growth, with share prices increasing since pandemic lows, indicating positive market sentiment [11][12].