Savills has examined the development of the German investment market for healthcare real estate in Q2-2026 and comes to the following conclusions:
In the 1st half of 2026, the transaction volume with healthcare and social real estate amounted to just over 1.4 billion euros, according to Savills. This means that the full-year results of the years 2023 to 2025 have already been surpassed. This was largely due to the acquisition of a majority stake in Cofinimmo by Aedifica and the acquisition of a medical center portfolio of Northwest Healthcare Properties by TPG Real Estate in the 1st quarter, which together accounted for almost two-thirds of the transaction volume. At EUR 317 million, however, the transaction volume in the second quarter was also above the quarterly average of the last three years of EUR 298 million.
The prime yield for nursing homes rose by 10 basis points to 5.3% in the 2nd quarter. Prime yields for medical centres (4.7%) and assisted living (4.5%), on the other hand, remained stable.
Max Eiting, Director and Head of Healthcare Capital Markets at Savills in Germany, commented on the market as follows: "The market for healthcare and social real estate has been characterised by a high level of dynamism in medical centres so far this year. This type of use not only recorded the highest number of individual transactions in the first half of the year, but also reached a volume by the middle of the year that exceeded all previous full-year figures with the exception of a single year. While core capital is also looking for stable investment options in the case of medical centres, demand in the area of inpatient care facilities is mainly driven by investors with a higher risk appetite and corresponding return requirements. As a result, many owners of nursing homes are currently refraining from selling, as their price expectations on the market often cannot be realized. Although the confidence in nursing home operators on the part of investors is increasing again, at the same time sales processes continue to be aborted because the quality of the products offered does not meet the expectations of the interested parties. Overall, extensive due diligence reviews ensure lengthy transaction processes. Nevertheless, several transactions, including larger ones, are also on the horizon for the second half of the year."
