This week on Senior Housing News, readers learned about the future of senior housing, which has a lot to do with adhering to the needs of middle-income seniors. They also learned how to arrange good deals on Class B senior housing properties, how senior living companies still rely on temp agencies to combat staffing woes, and about a finance firm’s entry into FHA lending.
The Future of Senior Housing: Less Ritz-Carlton, More Southwest Airlines—Too rich for affordable seniors housing, too poor for market-rate seniors housing—the predicament is widespread, but the senior housing options for these older adults are not. Now, there’s an emerging consensus as to how middle-income seniors housing communities should be run: think less like a Ritz-Carlton, and more like Southwest Airlines, experts say.
How to Get Top Dollar for Sub-Par Seniors Housing—Class B seniors housing properties tend to sell for lower amounts per unit than Class A senior housing properties, which, by definition, have a higher asset quality, better operational performance and are in a more desirable physical location. In fact, Class A properties sold for about $248,500 per assisted living unit and $243,300 per independent living unit in 2015, according to Irving Levin’s SeniorCare Investor annual report. Meanwhile, Class B properties garnered only $138,300 per unit for assisted living and $72,900 per unit for independent living that same year.
Senior Living Leans on Temp Workers, Bonuses to Combat Staffing Woes—Chief financial officers (CFOs) throughout the senior living industry are taking matters into their own hands when it comes to alleviating staffing pressures in their organizations—and with some success. But they’re still having to rely on temp agencies to fill staff vacancies a good deal of the time. That’s according to the CFOs who participated in the June 2016 edition of Ziegler’s CFO Hotline survey.
MidCap Financial Ups Senior Housing Game by Acquiring HUD Lender—MidCap Financial, a specialty finance firm that has provided debt solutions to a broad array of senior housing companies, added an FHA lending platform for the first time by acquiring Pineview Capital Group. The transaction comes at a time when FHA transactions are expected to be on the upswing.
The Apple Watch Just Made Calling for Emergency Health Much Easier—Apple announced that its Apple Watch will have a new “SOS button,” which enables users to call emergency services by pressing the sidebar and holding it down for a few seconds. The Apple Watch also has the ability to send a message with its wearer’s location to some or all of their emergency contacts, Popular Science reported.
Written by Kourtney Liepelt