A recent article highlights the resurgence of demand regarding efforts by builders, investors, venture capitalists, and entrepreneurs to rebrand senior housing, which includes efforts to renovate, redesign, and otherwise create fashionable yet practical and affordable living spaces for seniors. According to the article, substantive evidence of this can be found with many of the major real estate development organizations such as the Assisted Living Federation of America (ALFA) changing its name to Argentum and Health Care REIT changing its name to Welltower. This is consistent with the efforts by investors and builders alike to effectuate a senior housing living space product that is seeming healthier, stronger, vibrant, and in many respects young and hip.
What is fueling the efforts to rebrand living options for seniors? One factor is the ongoing market stigma that is associated with traditional senior living arrangements, as evidenced by an article discussing how a well-known senior living center was sued for not neglect, harassment, and essentially running a senior housing center in which “seniors aren’t being bathed regularly, the dining room is serving junk food, and a housekeeper is leading group activities.” As such, the industry itself, from investors to builders to senior housing management companies, is doing everything possible to distance itself from traditional senior living arrangements, and in doing so, is looking for a rebranded image that significantly departs from connotations of abuse and focuses on abundance.
A specific case in point of the rebranding efforts is a company called Ingleside, a premier provider of comprehensive senior living services in the Washington, D.C. metropolitan area, which has recently attempted to focus on the concept of “engaged living” at its properties. Such rebranding was largely based on the trend away from traditional senior housing perspectives and stigmas, and focused on senior activity and vibrancy.
Investments in the senior housing infrastructure, especially in this period of re-branding among investors, builders, and management, is an opportunity to take advantage of growth that is seeking to completely innovate both conceptually and theoretically, the role of senior housing in our society. Cambridge Realty Capital is versed in a variety of investments in the senior housing market. Our experience and expertise make us a leader in the investment world.