Senior Housing and Assisted Living

As the economic recovery picks up steam, home improvement spending is projected to increase as homeowners look to improve their homes with smaller improvements rather than trading locations.  According to the Leading Indicator of Remodeling Activity (LIRA) released this month by the Remodeling Futures Program at the Joint Center for Housing Studies of Harvard University, home improvement spending will recover and annual spending for remodeling will accelerate with nearly 5% growth for 2010.  As home prices start to moderate, home sales begin growing and the employment outlook improving, homeowners will focus on remodeling vs. buying until prices begin to appreciate and unemployment begins to drop.

“The gradual recovery in the broader economy should encourage more remodeling spending by homeowners,” says Nicolas P. Retsinas, director of the Joint Center for Housing Studies. “This year could produce the first annual spending increase for the industry since 2006.”

The Remodeling Futures Program, initiated by the Joint Center for Housing Studies in 1995, is a comprehensive study of the factors influencing the growth and changing characteristics of housing renovation and repair activity in the United States. The Program seeks to produce a better understanding of the home improvement industry and its relationship to the broader residential construction industry.

Interested in operating and developing a CCRC site in the beautiful Rocky Mountains?  Eagle County in Colorado is seeking Requests for Qualifications (RFQ) for developers and operators interested in partnering with the county in bringing a first class continuum of care retirement community (CCRC) on a nine-acre redevelopment parcel within the Town of Eagle’s boundaries owned by Eagle County.

Eagle County, Colorado is a rural resort community of over 54,000 permanent residents, which account for approximately half of its peak population. Eagle County includes the resort communities of Vail and Beaver Creek. The land proposed for the West Eagle CCRC project is adjacent to downtown Eagle, in the heart of the Eagle River Valley. Eagle is a thriving locals’ community 17 miles west of Beaver Creek and 26 miles west of Vail. The Town is home to the County seat and is increasingly becoming an important employment center for the County. There is no CCRC facility in Eagle County—seniors requiring skilled nursing or assisted living facilities leave the County.

The plan for the West Eagle CCRC be a financially self-sustaining, green-built (preferably LEED certified) project, serving a broad spectrum of social-economic residents, including Medicaid recipients, and providing a broad spectrum of care levels, including independent living, assisted living, skilled nursing, and hospice and memory care facilities for at least 100 residents, with the ability to expand as the population of Eagle County grows.  The county has provided a fall 2009 summary of market demand for the project.

While the County will accept operator-developer applications, operators that are not CCRC developers should not partner with developers in responding to this RFQ. The County has published a developer RFQ contemporaneously. Team applications between developers and operators that are separate entities are discouraged.

There will be a tour of the West Eagle CCRC project and pre-submittal conference on Friday, June 4, 2010 at 1:30 p.m. Attendance at either tour is not required but respondents are encouraged to attend at least one.  Statements of Qualifications are due in hard and electronic copy, as provided for in this RFQ, no later than Tuesday, June 22, 2010 at 3 p.m.

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

TrinityCare Senior Living, Inc. (OTC Bulletin Board: TCSR) recently announced the execution of a strategic agreement with ATOM, LLC for the development of a new senior living facility in Gulf Shores, Alabama.  Funding for Trinity Sands, an 82-unit, $12 million senior living facility, is anticipated to occur during the summer of 2010 and completion of construction is anticipated in the summer of 2011. 

"Trinity Sands will be our first project with this developer, ATOM, LLC, which has broad experience involving diverse investments," stated Donald W. Sapaugh, Chairman and Chief Executive Officer of TrinityCare Senior Living, Inc.  "ATOM, LLC has obtained a Market Acceptance Letter from HUD, which will expedite development on the Alabama Gulf Coast, and its lender is known for financial strength and leadership in senior lending."

"We are pleased to have this amazing opportunity to work with TrinityCare and its leadership in the development of not only a senior living facility, but a community that cost-effectively provides for its residents’ personal and healthcare needs in a high quality living environment," stated David Stewart, member of ATOM, LLC, the land contributor and partner in Trinity Sands.  Mr. Stewart and three other partners contributing the land are experienced developers in the region and plan additional senior-related amenities on the site.

Ambling Development Partners (ADP) recently announced it will begin construction on a new residential development in Union City. ADP’s new 146,000 SF community, known as Woodbridge at Parkway Village, is situated on 6.67 acres and features 150 units.  The project, which consists of 120 Project Based Rental Assistance units and 30 Low Income units, is considered a mixed-finance transaction as it combined multiple financing components including Low Income Housing Tax Credits, Tax-Exempt Bonds, grants and other subordinate financing. The project was financed with tax-exempt bonds issued by Union City under the New Issue Bond Program (NIBP), part of the American Recovery and Reinvestment Act (ARRA).

“We are proud to work on this exemplary project alongside other visionary partners including Union City Housing Authority, Fulton County Housing Authority, and Atlanta Housing Authority. Woodbridge is a model community and an integral part of the overall HOPE VI Redevelopment Plan,” said Torian R. Priestly, vice president of development for ADP.

Community Affordable Housing Equity Corporation (CAHEC) purchased the federal Low Income Housing Tax Credits; Stateside Capital purchased the Georgia State Low Income Housing Tax Credits.  Additional sources of funds for this mixed-income mixed-finance transaction included HOPE VI funds as well as other funds provided by the Housing Authority of Fulton County.

The Board of Directors for Alaska Housing Finance Corporation recently announced that it approved an $846,000 mortgage loan to Lumen Park Associates for a 20-unit low- to moderate-income independent senior housing project to be located in South Anchorage, Alaska.  The facility will consist of a three-story building comprised of eight one-bedroom apartments and a dozen two-bedroom units. In addition to the $846,000 mortgage loan from AHFC, Lumen Park Associates intends to use a $1.8 million grant provided under AHFC’s Senior Citizens’ Housing Development Fund and $2.6 million provided under the federal low-income housing tax credit program. 

This is the eighth affordable housing facility in Alaska developed by Trapline-CDI, the developer, and financed by AHFC.  Five of the 20 units will be reserved for residents earning 30 percent or less of median income; five will be for residents earning 50 percent or less, and nine will be for residents earning 60 percent or less.

Resort Lifestyle Communities celebrated the ground breaking of Provident Crossings adult living community in Round Rock, Texas last week. Provident Crossings is a $22.5 million, 126-apartment adult living community for people 55 and and will offer a selection of studio, 1, 2, and 3 bedroom apartments all with full kitchens, washer/dryer hookups, spacious living areas, and storage. The project was designed and will be built by Cameron General Contractors and will be managed by Resort Lifestyle Communities, both from Lincoln, Nebraska.

“We are very excited to be a part of the Round Rock community and we will work very hard to provide a great living experience for the areas older adults,” said Breck Collingsworth, President and CEO of Resort Lifestyle Communities,

Friends Homes Inc. (Friends), a continuing care retirement community (CCRC) operator in North Carolina, recently announced a partnership with FLS Energy for installation of 208 solar thermal collector panels in its two continuing care retirement communities, Friends Homes at Guilford and Friends Homes West.  As one of the largest ever installed solar thermal systems in a retirement community in the United States, the project will create 10,000 gallons of solar heated water each day for nine of Friends Homes’ buildings and facilities.   The solar thermal facilities will be roof mounted to the selected facilities requiring about 12,480 sq. ft. of roof space and will reduce carbon emissions by almost 150 tons per year and will save approximately $30,000.00 per year in fossil fuel cost. Construction is slated to begin in April with completion projected for September.  FLS Energy is financing the solar thermal project at Friends Homes through its Solar Energy Purchase Agreement.

The solar project, which will be metered, comes with a “performance guarantee” from FLS Energy of the amount of solar energy that will be generated each year. Duke Energy is purchasing renewable energy credits from this solar energy system to meet North Carolina’s renewable energy mandates. FLS Energy will also be responsible for all maintenance of the system. Completion of the solar hot water project in September will establish Friends Homes as one of the most sustainable continuing care retirement communities in the United States.

Wilson Sheldon, CEO, of Friends Homes Inc., said, “It is our belief that we must reduce the consumption of fossil fuels. Installing these solar thermal units in our retirement communities means taking a major step in our commitment to utilizing renewable energy. Not only do we want to be good stewards of the environment, but also, we are looking for ways to contain costs so that our communities remain affordable.”

“This project will establish Friends Home as one of the strongest leaders in North Carolina for developing clean renewable energy for their facilities,” said FLS Energy’s Finance Director, Brownie Newman. “Friends Homes paid nothing upfront and will begin seeing the savings immediately.”

Senior Quality Lifestyles Corporation (SQLC), a Texas-based nonprofit sponsor of senior living communities, announced that financing was recently completed for its latest project, Mirador.  Ziegler Capital Markets served as bond underwriter of the $79 million financing for the the 17-acre campus scheduled to open in 2011.  Construction is underway for the Corpus Christi, Texas gated community and will include approximately 125 customized independent living apartment homes, each with a fully equipped kitchen, washer and dryer, and 24-hour emergency response system, as well as 44 private assisted living suites, 41 private rooms for dignified nursing care, and 18 private residences for memory support. According to Greystone Communities, the Irving, Texas-based development partner, the economic impact of the project for the Corpus Christi community will be significant.

“We are pleased to complete the successful financing of Mirador in the face of what has been not only a very difficult financing period, but one of the most challenging economic periods for our economy in my business career,” said Charles B. Brewer, President and CEO of SQLC. “I believe it reflects very favorably on the concept and design of this senior living community, the talented team that has brought it to the market, and truly the market itself – Corpus Christi – which has embraced the project.”      

The community will serve 125 families seeking an active lifestyle and a premier address close to local restaurants, shops and attractions. 

“Mirador will support the Corpus Christi economy in a big way with a $32,000,000 construction contract,” said Burt Derr, Vice President of Developmental Services of Greystone Communities.  Derr projects that, at the peak of construction, Andres Construction will employ more than 300 construction personnel. 

Sunwest Management announced late last week that it has received approval from the US District Court Judge Michael Hogan for the sale of the company’s 149 senior housing facilities. The sale of the facilities are part of a previously announced joint venture with Blackstone Real Estate Advisors VI LP, Emeritus Senior Living, and Columbia Pacific Advisors. The joint venture will be the stalking horse bidder during a bankruptcy auction scheduled for May 17, 2010.  The Sunwest Management states that the sale of its facilities valued at $1.3 billion, includes a combination of cash, securities, and assumption of debt. The joint venture will purchase the majority of assets of the consolidated Sunwest enterprise.