Paul McNeive: Tax incentives for senior living can ease both the nursing homes crisis and Ireland’s housing crunch

Developers must bear in mind that Irish people strongly prefer to own, rather than rent. Photo: Andrew Murphy/Alamy/PA

Paul McNeive

A recent boom in the nursing home market has run out of steam as various factors are undermining profitability. In 2017, €170m worth of nursing homes changed hands, but by 2021, turnover was €629m, following a wave of purchases by mainly French and Belgian owner-operators and investors. Now, however, some of the new entrants are understood to be considering exiting the market, with questions over viability.

I spoke with CBRE experts Cormac Megannety, head of healthcare, and Maureen Bayley, senior director, and they told me that while there is “consternation” in the sector, there is a gap in the market for upmarket “senior living” schemes, which can also ease Ireland’s housing crisis.