American Healthcare REIT, Inc. (AHR)

American Healthcare REIT owns senior housing and medical buildings, and operates some of them itself.

Demand is set by the number of people over eighty, which is rising, while construction of such housing nearly stopped during the years of expensive money. The gap between demand and supply lifts occupancy and rates — the central story across the whole segment.

What distinguishes this trust is a large share of properties where it receives the care home's operating result rather than fixed rent. That gives more upside as occupancy fills, but transfers operating risks to the trust: staffing costs, care quality, turnover. Risks: interest rates, labour costs and regulation. The trust form obliges distributing profit.