Outlook 2026: investors drawn to senior living in the Nordics
The senior housing market in Nordic countries is attracting significant investor interest, delegates heard at Real Asset Media’s European Outlook 2026: the Nordics, which took place recently in Copenhagen.
“Big EU institutional investors see senior housing as a solid core strategy because of demographic trends”, said Kasper Wehner, Investment Director, Northern Horizon. “One German investor put in €150 million in one chunk, which is significant, and we also have Japanese investors interested in the Nordics.”
Northern Horizon raised €220 million last year but is expecting to raise significantly more this year, he said: “We are in discussions with big clients who see it as a promising market and they like the State-backed model in the Nordics.”
In Denmark, Sweden and Finland there is very little new supply just when demand is growing because of the fast-rising number of elderly people. There is a structural undersupply of care homes and senior housing.
“It is a big and growing market, as in n all three countries soon one-third of the population will be over 60”, said Wehner. “We plan to include a lot of services in our schemes and are figuring out what product works best. We believe the all-inclusive model is best, because people are happy to pay rent but less keen to have to pay for extras.”
The schemes have small flats but large communal areas like living rooms, a library and other amenities.
“Our senior housing strategy focuses on PRS schemes”, said Dominik Brambring, Partner, Periskop Opportunities. “Multifamily housing with a service component for residents. It is pushing senior living away from the care home sector and towards the PRS sector.”
It is a concept that has worked very well in Australia and in the United States but it still in the experimental phase in Europe. “It will take a while to get it right and figure out the right price point, but the potential is there”, said Wehner.
Investors like the sector not just because of the supply/demand imbalance, but also because it has different segments to deploy money in and it guarantees exit liquidity.
“Senior living, healthcare, medical centres and ambulatory day clinics are all niche segments now but they will be mainstream asset classes in the future”, said Brambring.
