Senior living construction and renovation have been bumpy in recent years. While there are still some potholes and detours, the ride is smoothing out a bit. In a recent NIC webinar, Meet Senior’s Housing’s Contrarians, some experts in the field shared their thoughts. While they offered some cautionary tales and precautions for the future, they also saw some light at the end of the tunnel. Here are just a few insights:

• Many in the industry have been hunkering down as valuations have been challenged, exit plans have been destroyed, carrying costs of non-cash-flow properties have spiked in 2023 and progressed into 2024, and the hope of a quick drop in interest rates has slowly dissipated. At the same time, some regional banks have increased regulatory requirements and higher interest rate expenses have made obtaining debt more difficult; as a result, we’ve been re-exposed to old terms such as seller financing.

In the ever-evolving landscape of senior living, staying ahead of the curve means more than just offering the best amenities and services; it is also about creating spaces that enhance the quality of life for residents while optimizing property value. It is about bringing new energy, functionality, and life into your community. That is where our

Interior Design Assessment

As part of a panel on innovation in planning and design at Ziegler’s 26th Annual Senior Living Finance and Strategy Conference, Pi President Greg Hunteman, AIA, talked about disruptions shaking things up and how to make the most of challenges while embracing opportunities. “The primary challenges facing senior living are things we’ve been dealing with for a while, including staffing shortages, development costs, and preference changes leaning into active adult living,” Hunteman said. More communities are looking at an active adult/independent living mix that requires less staffing and is easier to finance but offers more opportunities to bring services to residents. Often, independent living mix involves unbundling services so residents can get as much or as little as they want or can afford, Greg noted. We also are seeing greater variety in amenities. For instance, Hunteman said, “We are creating more communities around water-based activities with amenities such as a ferry from the community to an adjacent lakeside town and boat slips and docks available to residents for their boats.”