Cushman & Wakefield recorded a transaction volume of around €1.22 billion on the German healthcare property market in 2025, which is 7 per cent lower than in the previous year (2024: around €1.31 billion).
Transaction volume stabilised in 2025 – trend reversal towards more transactions
In the care property segment, transactions with a volume of around €885 million were recorded, of which nursing homes accounted for €613 million and assisted living for €272 million. In addition, the outpatient and inpatient medical care facilities segment contributed approximately €335 million to the transaction volume of healthcare properties.
Prime yields remain stable
Prime yields for healthcare properties remain stable: 5.10 per cent for nursing homes, 4.50 per cent for senior residences in the assisted living sector, 4.75 per cent for outpatient medical care facilities (MVZ) and 5.75 per cent for inpatient medical care facilities (clinics). In the short term, prime yields are expected to remain stable, while in the medium term they are expected to decline slightly due to low construction activity and rising demand from potential users.
Demand for healthcare properties remains high
Healthcare properties are a major focus and an essential component of real estate portfolio diversification. Investors are particularly focused on good operator quality, property quality and regulatory issues. Properties with long-term leases are characterised by strong demand and high liquidity.
More and more investors, especially from the private and semi-institutional sectors, are focusing on value-add and opportunistic investment opportunities. Short terms, CAPEX measures and other stabilisation options are particularly in focus.
Despite high demand, it is also apparent that due diligence is taking more time. Cushman & Wakefield currently has its own marketing activities, including several portfolio processes worth more than €1.00 billion, which could not be certified in 2025 due to a longer due diligence process.
Focus on international capital
In the final months of 2025, a slight shift in the buyer landscape of the German healthcare investment market became apparent. After a prolonged period of passive market observation, German institutional investors – in most cases with capital from insurance companies and pension funds – became active buyers of nursing homes. Despite improved capital procurement among national investors, Cushman & Wakefield sees an increasing dominance of international capital.
Foreign capital is particularly active in large-volume transactions, while national capital remains a rarity, as in the case of the Pflege und Wohnen transaction. Here, in January 2025, the City of Hamburg purchased 13 nursing homes in Hamburg from Deutsche Wohnen for €380 million.
Medical care is gaining relevance
Cushman & Wakefield sees growing interest in medical care, both outpatient and inpatient. In Q4 2025, transactions totalled €134 million, meaning that 40 per cent of the transaction volume in 2025 for outpatient and inpatient medical care facilities was accounted for by the fourth quarter alone. More and more buyers are able to raise capital for medical care. On this basis, transaction activity is expected to increase in 2026 and the following years.
Jan-Bastian Knod concludes: ‘We are at the beginning of a new market cycle, including for healthcare real estate. Valuations have been readjusted across all risk classes. Many market participants will use this phase to enter the healthcare sector.’
