At a Glance
Developer: US Memory Care, LLC, in partnership with America Development
What: Two memory care developments—$14 million each—as part of an overall $250 million expansion
Number of units planned: 150
Where: Cedar Park, Texas and Southwest Houston
Major capital sources: A group of regional banks, with possible private equity investment
Architect: Galier Tolson French (GTF Design)
Dallas-based US Memory Care, LLC is moving forward on a $250 million memory care expansion in partnership with America Development by starting work on two facilities in Cedar Park, Texas and the Southwest Houston area that are expected to open in early 2014.
The partnership’s first memory care community opened recently in Colleyville, Texas, with two others currently under construction in North Dallas and the Vintage area in northwest Houston.
“We are rapidly expanding this company,” says Steve Belli, vice president of development at America Development, adding that there could be as many as eight communities open or under construction by the end of 2014. “We have a massive expansion plan and the capital in place to do it. We feel very strongly about this side of the senior housing industry.”
US Memory Care uses the same 75-unit, 60,000-square-feet prototype for each development, with exteriors customized by geographic location. Communities provide residents with three levels of care corresponding to the the advancing stages of Alzheimer’s diseases.
The cost of development is around $14 million per community, which are styled around a “main street” concept with a common area designed to stimulate memories for residents and their families. Features include a beauty salon and barber shop; a town hall for movies, events, and religious services; private dining areas; a relaxation room; a music hall and a sweets shop; and a 1950s-style diner.
Construction financing for the $250 million pipeline is coming mostly from a group of regional banks, according to Belli, although there are also talks with private equity groups interested in providing development financing.
The US Memory Care/America Development partnership controls the real estate and operations of its communities, and Belli says the current plan is to retain ownership until it builds a portfolio.
US Memory Care expects to break ground on two more memory care communities in 2013 using the same prototype. Plans include building at least 20 new communities in the next three years located in the southern U.S.
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Written by Alyssa Gerace
Editor’s note: The Dirt is a new Senior Housing News feature highlighting upcoming or current senior living construction projects that have interesting or unusual angles. Send suggestions for The Dirt to email@example.com.