As developers continue to come off the sidelines with starting senior living projects this year, Ohio-based Homestead Cos. has signaled a strong appetite for future projects in the sector over the next decade.
Homestead President of Development Matt Canterbury told the Columbus Business Journal the company has plans to open “at least four” senior living projects each year for the “next eight to 10 years.”
The company’s website currently lists four active adult communities in its portfolio. Homestead also has two senior living projects planned near Fort Wayne and Indianapolis, Indiana, according to the article.
“In 2022, our aspirations are high as we look at expansion into new markets and potentially another state, or two,” Canterbury wrote in a company update in January. “We continue to work with the operations team and the construction team to perfect [Homestead Senior Living] for future builds.”
As of the beginning of 2022, Columbus, Ohio-based Homestead operated five business lines, with more than $200 million in new construction contracts in place. The company develops, builds and manages its own properties.
In terms of the types of senior living communities the company develops, Homestead Senior Living focuses on “more of a blue collar, affordable and attainable product,” he also told the news publication.
“We’re realizing more and more who our resident is and who we were going for,” Canterbury told the Columbus Business Journal.
Homestead is one of a handful of companies growing in the active adult senior housing sector. Interest in the space is also high among investors, with 31% of respondents to a recent JLL survey identifying it as their most sought-after investment opportunity in 2022.
Senior living development has picked up again after a lull during the Covid-19 pandemic,, with new construction ramping up in 4Q21.
Average senior living occupancy rose to 81% in the fourth quarter of 2021, marking the second consecutive quarter of occupancy growth for the industry, the most recent NIC MAP Vision data shows.