Prime Time for
Seniors Housing
Despite some recessionary setbacks, the outlook for senior living
is promising for investors, developers and operators
By Jane Hodges
The population of Ameri- cans retiring will accelerate over the next two decades, creating unprecedented opportunities for builders,
developers, operators and investors to
produce new seniors housing to fulfill this
Slated for completion in fall 2011, Stayton at Museum Way is an 11-story, three-building CCRC
located in Fort Worth’s Cultural District. The Senior Quality Lifestyles Corp. property will offer 188
independent-living residences as well as on-site assisted-living, memory-support and private skilled-nursing services.
group’s broad spectrum of needs. “The de-
mand for housing will be across the board,”
says Charles Bissell, national practice leader
for Dallas-based Integra Realty Service’s se-
niors housing and healthcare specialty prac-
tice. “This housing needs to include a mix
of senior apartments and independent and
assisted living offerings.”
The population of Americans aged 55
and older is growing at a rapid pace.
According to Census data and National
Association of Home Builder projections,
this group will swell from 59.3 million in
2000, comprising 21% of the population, to
76.6 million in 2010, or 25% of the popula-
tion. And it will only keep growing from
there, as Baby Boomers continue to enter
retirement age: By 2014, some 85.3 million
will fall into this category, representing 26%
of the population.
Older Americans most likely to move
into some form of senior living facility, specifically those aged 65, 75 or 85, are
expected to grow at respective paces of 3%,
2.9% and 2.1% annually between now and
2030, according to Integra. The firm projects that this translates to a need for at least
94,000 new seniors housing units or beds
per year between 2010 and 2030, which is
roughly 1. 9 million housing units—a 60%
increase in supply.
The seniors housing sector includes a
variety of types, each with its own market
dynamics and strengths and weaknesses
coming on the heels of the recent eco-
