I recently had a chance to visit with Rocky Berg, principal for the senior living practice at three:living architecture about the current state of design for senior living. Here is what he had to say:
Old Buildings: All of the new senior living construction is putting tremendous pressure on those providers who have older buildings, which could mean anything from twenty to fifty years of age. New buildings are more opulent, they have better technology, larger units and larger and more common spaces.
In Rocky’s view the value of these buildings reside primarily in the structural part of the buildings. This means that often an owner needs to make the hard decision about the value of knocking down an old structure and starting over or gutting the interior, saving the parts of the building that are sound, or make it unique and turning it into something that will appeal to the demands of the current upscale clients…
Technology adoption, repositionings and staff recruitment and retention will play an increasingly important role in the sector, as well, according to predictions from Chicago-based specialty investment bank Ziegler.
In 2014, Ziegler tracked roughly 60 changes in ownership and sponsorship among nonprofits, and that increased to about 80 in 2015, Lisa McCracken, senior vice president of senior living research and development, tells Senior Housing News. In 2016 and the years ahead, those numbers will follow that upward trend.
McKnight’s Senior Living News: Welcome to the Age of Misalignment
Author: John O’Connor
If we are to make any judgment about America’s current supply of senior living stock, it is this: Things are seriously out of whack.
How else to explain a very bizarre phenomenon we’re now seeing: oversupply for some cohorts and scarcity for others?
Most in this sector are familiar with mounting oversupply concerns. Trending data have been showing what the experts like to call “froth” for the better part of a year now. That’s sort of a cool way to say that supply exceeds demand. What’s less cool is why this is happening. In destination locales like Florida, senior housing developments seem to be opening faster than new Starbucks…