Welltower (NYSE: WELL) is joining forces with Treplus Communities in a new investment relationship that will help fuel the active adult provider’s growth in the future.
The new partnership will “expand the best-in-class Treplus product offering into Welltower’s senior living portfolio,” Treplus announced in a press release Thursday.
Representatives for Treplus and Welltower declined to comment on the announcement beyond the press release when reached by Senior Housing News.
Columbus, Ohio-based Treplus has three active adult rental communities open in Ohio, and is planning to expand to other locations in Ohio as well as in other Midwestern states. The Toledo, Ohio-based real estate investment trust’s (REIT) investment “will provide the necessary momentum” for Treplus’ growth.
“We are pleased to partner with Welltower, the leader in health care real estate, and share with Welltower an understanding of what baby boomers desire in downsizing options,” Treplus Communities Managing Partner Jane Arthur Roslovic said in a press release. “Treplus Communities’ partnership with Welltower will strengthen our ability to offer luxury communities that provide premium amenities and encourage an active, social and maintenance-free lifestyle to this rapidly-growing demographic.”
Ann Arthur Cook and Geoffrey Arthur are also partners in Treplus.
Treplus communities span about 90 to 150 units, and are built in suburban infill locations. All of the company’s communities are equipped with universal design principles such as wider hallways, task lighting, elevated electrical outlets, no-step showers and units with dedicated entrances. Residents also have access to a clubhouse with a fitness center, internet cafe, business center, billiards room, liquor lockers and a catering kitchen.
The company’s target clientele are a “varied audience” of older adults who are looking to downsize or rent; as well as “empty-nesters” and singles.
“We’ve got a lot of baby boomers, they want to downsize, they don’t want to necessarily pour all of their extra capital into maintaining their home … and they want that sense of community,” Roslovic told SHN earlier this year. “They don’t necessarily want to live with the millennials, but they want to rent, and I think we are creating communities where they really feel like they can age in place and enjoy one another.”
This is not Welltower’s first foray into the active adult rental market, which has expanded at a rapid pace in recent years.
The REIT last year launched a new middle-market brand, welltowerLIVING, which is centered around wellness and social connectivity. Other companies in the space that Welltower has worked with include Charlotte, North Carolina-based Terwilliger Pappas; and Priya Living, which is based in San Francisco.
The REIT has seen increasing demand from “lifestyle-driven” residents in recent weeks — and social isolation might be part of the reason why, according to CEO Shankh Mitra.
“I honestly thought you were going to see more needs-based residents coming first and probably lifestyle residents would wait another six months,” Mitra said Wednesday at the RBC Capital Markets Global Healthcare Conference on Wednesday.
Editor’s Note: Interested in learning more about the active adult market? Join us next month for our second annual Senior Housing News Active Adult Virtual Summit, featuring Jane Arthur Roslovic as a speaker. Click here for more information.
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