The fourth quarter is now underway, and based on anecdotal evidence in the industry, senior housing communities are continuing to sprout up at a steady clip. At various times this year, some industry watchers expressed concern that too much development was taking place, and that this would eventually lead to a glut of supply in the market and not enough demand to satisfy it. These concerns generally subsided as demand for senior housing continues in strength and fears of oversaturation are turning out to be overblown. Now, with demand for senior housing continuing to grow, states and localities are doing what they can to encourage the development of new communities in order to help senior citizens transition into senior housing.
A Midwest City Boosts its Senior Housing Numbers
In Wood Dale, Illinois, developers recently broke ground on the site that will house the Bright Oaks of Wood Dale senior housing community when it opens in 2016. The Mayor and city officials are very excited about this development because Wood Dale currently lacks any senior housing facilities to offer its residents. Furthermore, in addition to providing a greatly needed housing option for Wood Dale’s seniors, the property will also create jobs for residents in the area and increase traffic to businesses because it will draw additional people into town.
Demand for Bright Oaks is expected to be strong because of the number of seniors in the area, and the fact that the property will contain both assisted living and memory care units to offer potential residents. Once it is complete, the six-story facility will contain 150 units that are capable of housing 180 residents. The first floor of the property will also include retail space for the general public to use.
City Officials Help Quicken the Pace of Development
To the delight of the Bright Oaks Group, city officials are working closely with them in order to hasten the construction of the property. For example, Wood Dale’s City Council quickly approved Bright Oaks’ site development request for the property, and this allowed them to immediately begin installing utilities for the facility. Bright Oaks still needs permits before it can begin working on the foundation and the building itself, but they are in close communication with Wood Dale’s Community Development Department, and expect the permits to be granted quickly once they submit final blueprints to the Department. Bright Oaks already gave city officials floor plans and full renderings of what the finished building will look like, and so far, city officials are pleased with what they have seen.
The assistance that Wood Dale’s Mayor and other city officials are offering the Bright Oaks Group as it begins development on the Bright Oaks of Wood Dale is evidence of the need for senior housing facilities in the area. As the nation’s population continues to get older and this need increases across the country, well-managed senior housing assets should retain their attractiveness as an investment type, and continue to generate positive returns for investors. Accordingly, investors who wish to acquire these assets for their portfolio should contact the Chicago-based financing firm Cambridge Realty Capital to learn more about the many different financing options that it offers for acquisitions and other purposes as well.