Welltower is a REIT that owns senior housing communities across the U.S., U.K., and Canada. Its core product is rental housing for aging seniors — independent living, assisted living, and memory care — where residents pay out of pocket from savings and home equity rather than through Medicare or Medicaid. This private-pay model insulates Welltower from government reimbursement risk. Welltower owns the real estate but does not operate communities directly; instead, third-party regional operators manage day-to-day care under performance-linked management contracts, supported by Welltower's proprietary operating platform, the Welltower Business System. The dominant segment is Seniors Housing Operating (SHOP), where Welltower captures net operating income after paying operator fees. Revenue is driven by occupancy and rental rates, while costs are predominantly labor; this creates strong operating leverage as occupancy rises. A smaller triple-net segment leases properties to operators under long-term leases where tenants bear all operating costs. Welltower is exiting its outpatient medical portfolio entirely via a $7.2B sale to concentrate solely on senior housing. Welltower also manages third-party capital through a private funds management business, including a ~$2.5B U.S. seniors housing equity fund. Capital allocation is central to the business: Welltower sources acquisitions largely off-market using a proprietary data science platform, deliberately acquiring under-occupied assets below replacement cost and leasing them up through its operator network.