The UK Competition and Markets Authority has opened the first stage of review into a series of completed acquisitions by US-based real estate investment trust Welltower Inc., signalling potential competition concerns in the highly fragmented but locally sensitive care home sector.
The CMA confirmed that it has decided to examine Welltower’s acquisitions of multiple care homes managed by Barchester, HC-One, Aria Care and Danforth Care. Taken together, the transactions cover more than 600 operational care homes across the UK, as well as additional facilities that have already received planning permission. The scale and geographic spread of the portfolio have prompted the authority to begin its information-gathering process.
At this stage, the CMA has not yet launched a formal Phase 1 merger investigation. Instead, it has issued an “invitation to comment”, the preliminary step used to collect views and evidence from market participants before deciding whether a full investigation is warranted. The authority is seeking input on whether any of the transactions, individually or cumulatively, could have an adverse impact on competition in local care home markets.
The acquisitions involve complex ownership structures spanning the UK, Jersey and the Cayman Islands, reflecting the increasingly financialised nature of the care home sector, where real estate investors and operators are often separated. While Welltower does not itself operate care homes, its ownership of large portfolios leased to major providers may raise questions about market concentration, local competitive dynamics and potential effects on residents, commissioners and staff.
Interested parties, including competitors, local authorities, commissioners and other stakeholders, are invited to submit written representations outlining any competition concerns they may have. The deadline for comments is 2 February 2026. The CMA will use the information received to decide whether to proceed to a formal Phase 1 investigation, which could ultimately lead to remedies or, in more serious cases, an in-depth Phase 2 review.