Senior Housing and Assisted Living

Thinking about retiring in Mexico?   How about developing senior housing and living product south of the border?  The opportunities exist but major challenges remain to make retiring south of the US border a slam dunk.  A group of business executives known as AMAR held a conference in San Antonio this past weekend to promote development of senior living in Mexico.  The group consisted of consumers, marketing professionals, real estate developers and various finance professionals and had sessions for both business representatives and consumers.  The conference was primarily spoken in Spanish with translation to English as the majority of attendees were from Mexico.  Some of the key take aways from the conference were:

• All owners and operators consistently stated that costs are 50-60% less in Mexico than in the US or Canada for physical development & final costs.  This was a consistent subject when listening to different developers in all parts of Mexico. 
• Healthcare solutions exist at various price ranges throughout the country including coverage for catastrophic emergencies depending on Visa status
• Most developments are for independent living (i.e.  homes and fractional residences)
• Proximity to Airports and Border are critical.
• Safety.  Despite the press, retirement in Mexico remains safe.  Presenters stated that the conflict exists between the druglords and the federales / police, not the retirees.
• Some developers are repositioning their properties as retirement locations rather than second home destinations.  Sales pitch is still resort lifestyle with CCRC type of amenities.
• Connectivity.  Researchers state those who are retired in Mexico today are in communication telephonically and via the Internet on a regular basis not much different than in the US.
• Medicare in Mexico.  This is the most critical part to explosive growth for retirement in Mexico.  While there are initiatives to bring Medicare from the US to Mexico, participants stated that this is a big wish.  Access to healthcare providers is top priority in those looking at retiring and those who already have retired in Mexico.

Final thoughts:  Retiring Mexico is a good alternative if you are looking for a temperate retirement, are mobile, in reasonably good health and have a sense for adventure.  There are groups of Americans retiring and living in Mexico in growing numbers so finding a community with Gringos is not out of the picture.  For development, until there is some kind of relationship between the US and Mexico for medical coverage (think NAFTA for healthcare…), Mexican retirement is a niche that is a viable alternative for a small group of American retirees.

Look for a few follow up articles from the conference focusing more specifically on segments of retiring in Mexico.

Shenandoah is one of those communities where active adults over the age of 55 can live life to the fullest. Situated on Lake Frederick between Front Royal and Winchester in Virginia. This 942 acre community features acres of unspoiled natural beauty in the Blue Ridge and Allegheny Mountains. Owners have direct access to the lake and natural surroundings.

With Phase One under development, the community has 2,130 home sites. The first homes being built will feature lakefront, lake view, and mountain views. In the near future the association will begin building condos and town homes for a low maintenance living option.

The community features a luxury 35,000 sq. ft. clubhouse / fitness complex with many amenities. Some of the amenities enjoyed by the residents include a social club, media center, formal and informal dining options, library, activity rooms, bar and lounge.

Adults into physical fitness will love the exercise center that features both strength and cardio machines. Fitness trainers offer classes in Pilate’s, aerobics, and yoga Tennis players can challenge one another on the tennis courts. Swimmers can take a swim or relax by either the indoor or outdoor pool. Swimming lessons are also available.

One of Virginia’s most beautiful lakes is Lake Frederick. This natural lake is great for boating and fishing. There is a wide variety of fish such as Largemouth Bass, Bluegill, Red Ear sunfish, Black Crappie, Channel Catfish, Walleye and Northern Pike in the lake. The community has dock and boat access to the lake as well as many piers suitable for fishing.

The community offers an extensive network of lakeside trails and beautiful woodlands and wetlands that make great spots for picnics in the lakeside pavilions.

Lake Fredrick and the surrounding towns offer many activities that can be enjoyed at the local parks, museums and wineries. There are six public golf courses within minutes of the community. The nation’s capital Washington DC is only an hour and a half away by car.

With an age restriction of 55 or older, you are sure to find like minded people and forge new friendships with other residents. Children are allowed to visit, but no one’ or younger is allowed to reside in the community permanently.

Hubert Miles is the founder of Gated Communities USA which features the best Gated Communities in the USA and Internationally. Find information on Shenandoah Community.

Watercrest at Mansfield, Mansfield, Texas’s first and only active adult community, recently announced that the facility has officially opened their doors to residents.  Watercrest at Mansfield offers resort-style living on 12 park-like acres. The campus features 11 villas and 200 independent living apartments for lease with features that include a heated saltwater pool, hair/nail salon, media library and learning center with Posit Science classes, fitness center, arts and crafts classroom center, and massage therapy salon.  The 13,000 square foot club house is the center of the gated community offering an array of recreational and social activities.

“We are thrilled that the doors of Watercrest at Mansfield are now open,” said Rick Simmons, president and CEO, Integrated Real Estate Group, developer of Watercrest at Mansfield. “The first residents are already taking advantage of the wide array of services and amenities offered by the community.”

Last week, 2,725 retirees celebrated the 10^th Anniversary of Riderwood in Silver Spring, MD,  in all five of the campus’ neighborhoods.  Riderwood, which is managed by Maryland-based Erickson Retirement Communities, is located on 120 acres across two counties in Maryland, Montgomery County and Prince George’s County.  Riderwood employs 1,400 full-time and part-time staff and the campus has 1,950 independent living units, 230 assisted living units and 132 skilled nursing units.  As part of its community, Riderwood has prided itself upon its connections to the local community and the impact its residents have made on the area.  Some of these achievements include:

• Riderwood is the only retirement community in the world that has the Corporate Lands for Learning Certification. It is also the only  retirement community in the United States that has earned Wildlife Habitat  Council Certification.
• Riderwood Friends of Habitat for Humanity support Habitats in Montgomery County, Prince George’s County and Washington, D.C.,  by attending Build Days, making quilts for the families, making kitchen cabinets and bathroom vanities.
• Riderwood has an average of 650 residents attending classes each semester in a partnership with the Community College of Prince George’s County.  There is an average of 60 sessions on 40 topics.
• Forty-three students currently attending twelve high schools in Montgomery County and Prince George’s County this past year earned collegiate scholarships in the amount of $6,000 each for their four-year academic careers.  They did so through Riderwood’s Student Scholarship Program in which residents voluntarily contribute money to help student workers at the campus attend college. Riderwood has awarded over $1.35 million in scholarships to 325 students in the Student Scholarship Program since 2002.

“It has been inspiring over the years to watch residents  share their interests and talents,” said Resident Life Senior Manager  Claudia Farr,  “The volunteer leaders across the campus are the backbone of Riderwood and its community. Individual residents have a passion for the community spirit. Our groups and activities reflect our vibrant community and the unique people who live here. Truly, this activity level and volunteerism has enhanced the lives of all of us in some way.”

Sunrise Senior Living, Inc. (NYSE: SRZ) reported financial results for the first quarter of 2010 that showed revenues of $355.2 million in the first quarter of 2010 as compared to $374.7 million for the first quarter of 2009 and its net loss for the first quarter of 2010 was ($16.0) million as compared to net loss of ($18.2) million for the first quarter of 2009.  For the first quarter of 2010, net loss from operations was ($10.6) million, an improvement of $30.4 million as compared to a net loss from operations of ($41.0) million in the first quarter of 2009.  Some of Sunrise’s operational highlights include:

• Comparable community revenues for the first quarter of 2010 increased by 2.4 percent, from $483.7 million for the first quarter of 2009 to $495.3 million for the first quarter of 2010.  Excluding the impact of foreign exchange rates in 2010, comparable community revenues for the first quarter of 2010 increased 1.3 percent to $489.9 million year-over-year.
• Average unit occupancy in comparable communities for the first quarter of 2010 was 86.2 percent, which was down 150 basis points from 87.7 percent for the first quarter of 2009, and down 50 basis points as compared to 86.7 percent in the fourth quarter of 2009. 

• Average daily revenue per occupied unit in comparable communities increased 4.2 percent from $194.99 for the first quarter of 2009 to $203.23 for the first quarter of 2010. Excluding the impact of foreign exchange rates in 2010, average daily revenue per occupied unit for the comparable community portfolio increased 3.1 percent to $201.01 for the first quarter of 2010 as compared to the first quarter of 2009. 
• Comparable community operating expenses for the first quarter of 2010 increased 2.1 percent over the first quarter of 2009 from $358.9 million to $366.5 million. Excluding the foreign exchange rates in 2010, these operating expenses increased 1.0 percent to $362.6 million in the first quarter of 2010.

“In this quarter we continued our operations and balance sheet restructuring efforts to move us toward strengthening our core business results while reducing corporate risk,” said Mark Ordan, Sunrise’s chief executive officer. “Our progress in both areas reinforces our optimism about our future.”

Sunrise continues to express concern over its liquidity position noting that it had $46.5 million of unrestricted cash and no borrowing availability under its credit facility.  As of March 31, 2010, Sunrise had debt of $424.2 million, of which $147.1 million of debt is scheduled to mature in 2010, including $33.4 million under its bank credit facility, which is due in December 2010. Debt that is in default totals $241.3 million, including $187.1 million of debt ($200.4 million face) that is in default as a result of the failure to pay principal and interest to the lenders of Sunrise’s German communities and $25.6 million of U.S. debt that is due to one of our German lenders. Sunrise is seeking waivers with respect to existing defaults to avoid acceleration of these obligations.

Sunrise Senior Living Q1 2010 Conference Call Transcript 

Sunrise Senior Living Q1 2010 Conference Call

Sunrise Senior Living Q1 2010 Earnings Release

The The Village at NorthRidge, a luxury retirement community in the San Fernando Valley, recently celebrated its grand opening with local dignitaries from the surrounding community.   The project, developed by Senior Resource Group (SRG) and is comprised of 275 independent and assisted living residences.  The Village at NorthRidge is complemented by amenities that include: The Prairie Grille Restaurant (open 12 hours daily), a fully equipped fitness center, The Majestic Theatre, Internet café, on-site bank, The Corbin Street Market, library, art gallery, club lounge, bistro bar, swimming pool and spa, a full-service beauty salon and underground parking.

“Our residents tell us everything we need to know about who they are and how they want to live. Their input guides us in everything we do,” said Michael Grust, president and CEO of SRG. “Believing life should improve with age, The Village at NorthRidge was created to be an invigorating experience, a place to really live life well.”

By Jody O’Donnell, SEO Manager, G5 Search Marketing

Many senior housing and living providers ask the million dollar question: Which directories are the best for me to sign up for?  The answer to the question should end “with regards to my SEO?”  

When developing your target list of directories, first establish a clear objective. Are you trying to get good, trusted citations from directories and improve the consistency with which search engines see your business information across the Web? Or are you trying to drive traffic directly to your website?

The first objective is back-linking while the latter is more about driving traffic and conversions.  This is an extremely important distinction. Deciding which is more important will point you to the best directories to accomplish your goal.

Many directories are built more for search engines than for human users.  It doesn’t take long to look at a directory and identify which audience they are targeting.  One tell-tale sign a directory is targeting search engines is how they list.  If they don’t use images or anything else to give a real live person more information about what your listing is, they are focusing on search engines. Search engine citation style directories will have your business information and little else, as illustrated by this example:

Directories that are more traffic driven sites generally have links back to the pages and have rich content for each listing. This can range from pictures to driving directions to operating hours, etc., as illustrated by this example:

Some of the best directories on the Internet are entirely free. There are various levels of time and effort you must commit to successfully take advantage of these directories. The commitment varies on a directory-by-directory basis.

The foremost free directory is DMOZ. This site gets a lot of credence from the search engines because it is well edited and has been around for a long time. It boasts a shocking PageRank of 8, a rating Google assigns to websites that shows authority based on a scale of 0 – 10. Some other general high quality free directories are business.com and Yahoo!.

The downside to a free directory is the application process and the data entry required. Denial is not uncommon, particularly for DMOZ. And be aware of paid directories that look to be the exact same as other directories. Search engines inherently give less credence to any links that cost money and are not specified in the HTML as a paid link.

There are many generic directories that cover varied industries across the Web. These are just general directories (not unlike the Yellow Pages) and may not be as valuable as finding one that is more specific to your industry. The more specific the directory, the more it can boost your SEO industry expertise.

It is much more valuable to optimize your website by finding a directory that aligns with your specific business. For example, if you have a website dealing with Assisted Living, you will want to find a directory that specializes as close to this industry as possible. A generic Senior Living or Senior Care directory, while still valuable, is not as valuable as a directory that deals just with Assisted Living. A more targeted directory will likely give a larger boost to your website SEO and citations because it is as close to your business as you can get. Listing your Assisted Living business in a directory for Defense Lawyers is probably not going to do much for you.

Directories can be helpful in getting good, accurate citations to your websites. They can also drive traffic and calls-to-action (phone numbers, brochure requests, etc.) for your communities. It takes time to research, time to apply and time to track your return. But it can increase your online profile, and thus your leads and potential business opportunities – making it worth the effort.

By Jody O’Donnell, SEO Manager, G5 Search Marketing

Back in the fall, Suburban Alternatives Land Trust (SALT) and Northbay Family Homes (NFH) held a competition for Senior Housing Design in California that accepted applications from from all across the world that reflected SALT’s mission of assisting low-income individuals and families to secure good housing, become homeowners and improve their economic position by working with donors of land to maximize and leverage tax advantages and benefits generated in the course of developing a full array for land use options for each parcel, including affordable homes, jobs, recreation, agriculture and open space.  Finalists have been selected but all the finalists and the honorable mention entries have all been posted in the gallery.  Visit the Design Gallery for some interesting perspective on California Senior Housing Design. 

Earlier this year, Del Webb released a “preview” of its 2010 Baby Boomer Housing Survey that showed that interest in age-restricted housing appears to peak after age 50 and those that are planning to move again, almost 10 to 1 indicated a preference for an age restriction in their next choice for housing.  The full survey fills in all the details and finds that changing attitudes are leading to changes in latitudes when it comes to decisions on retirement housing. According to the survey, Boomer movement is defined by what they do with their life and mind that makes a difference in how they live, work and play and portrays a highly mobile demographic.  Some of the highlights include:

Trends on Moving in Retirement:

• About 1/3 of Baby Boomers plan to move to a new home during retirement.
• The desire to move during retirement is on the rise as 42% of today’s 50-year-olds plan to do so as compared to 36% among the 1996 50-year-olds.
• Approximately 50% of both age groups who plan to move during retirement plan to move to a different state while about 25% of them plan to move to a different city within the same state.
• The Carolinas are the New Florida among both the younger and older Baby Boomers. Florida, Tennessee and Arizona remain Top 5 contenders.
• “Cost of living” and “healthcare” were the MOST important considerations in selecting a location for both age groups; trumping a “favorable climate,” which was the most important factor in 1996.
• Interest in age-restricted appears to peak after age 50.  Of those Del Webbers who are planning to move again, fully 10 to 1 indicate a preference for age restriction.

Working in retirement:

• The vast majority of both those planning for retirement and those living retirement are planning to include working as part of their lives. 
• Among young boomers, 72% plan to work.  For older Boomers not yet retired, 74% plan to work.  In the 1996 survey, 68% of the 50-year-olds surveyed said they planned to work
• Today’s 50-year-old Boomer anticipates retiring four years later.
  • Compared to 50-year-olds in 1996, today’s 50-year-olds plan to retire a median of four years later – Age 67 vs Age 63.
  • Of those turning 50, 54% anticipate retiring from their primary career after age 65; 0f those turning 64 and still working, 8% plan to retire over the next few years, and 74% after the age of 65.
  • 14% of 50-year-olds and 18% of 64-year-olds who are still working never anticipate retiring.
• Among current retirees, just under 40% report actually working since retiring.
• Finances- Fulfillment & Fun – While finances are a common reason for why many will continue to work, other top reasons include:
  • “Warding off boredom/keeping busy”
  • “Self satisfaction”
  • “Simple enjoyment” 

“Baby Boomers have a much different mindset toward growing older than earlier generations,” said Deborah Blake, Del Webb creative director. “Feeling older is just a state of mind for many of them – one that most have no interest in. Many consider themselves healthy and active, primed for the next part of their lives with no plans to slow down anytime soon. They want to do it all as they enter this next phase, from working longer to trying Zumba and acting classes to volunteering their time.”

Del Webb has conducted these surveys since 1996.

2010 Del Webb Baby Boomer Survey

Interested in ideas on how to develop an intergenerational gardening program to engage the local community for your senior housing project?  The National Center for Creative Aging (NCCA) and the MetLife Foundation recently held a symposium entitled “Creativity Matters! Symposium with Focus on Civic Engagement Building Communities Through Intergenerational Gardening” in Washington, DC on April 12, 13 and 14.  The symposium was a gathering of thought leaders who presented workshops and current programs to bridge seniors and the community through intergenerational gardening projects.  The first day of the symposium focused on how to create, develop, sustain and evaluate intergenerational programs in schools, healthcare and community settings. 

"Creative programs such as gardening give seniors the chance to pass on the wisdom and skills gained from a lifetime of experiences while remaining productive and engaged members of society," said Susan Perlstein, M.S.W., the Founder of NCCA and also Director of Special Projects.

Photos Courtesy of NCCA and Ray Fitzgerald

The second day of the event was held at the United States Botanic Gardens, the oldest botanic garden in North America located near the U.S. Capitol.  Dr. Marianne Krasny, Professor and Chair of the Department of Natural Resources of Cornell University and Director of Mosaics Intergenerational Garden, was the keynote speaker and spoke about the Mosaics program and its efforts to connect youth and elders in community projects with focus on the program’s work with urban gardens in New York City.  Sessions continued into the afternoon and discussed best practices from across the country on how to create communities and promote the added benefits of health through these garden projects.  The afternoon sessions examined initiatives from the Denver Urban Gardens and the The Morikami Museum and Japanese Gardens.  On the final day of the symposium, participants visited community gardens throughout Washington, DC that included Common Good City Farm, an urban farm and education center which grows food for low-income residents in the District and Meridian Hill Park.

For more information on the Symposium, visit the NCCA’s Gardening Symposium