With its financial restructuring long in the rearview mirror and a new Inspir property soon to open in Washington, D.C., Maplewood Senior Living is on an upward operational trajectory, according to CEO Taylor Pickett.

The Westport, Connecticut-based senior living operator’s Inspir community in New York City is engaged in a “slow trudge” with regard to occupancy growth, with census now sitting at 72%. But the property is adding new residents each month and is gradually adding to that number, according to Omega leadership.

“It’s going to take some time,” for the community to reach an occupancy rate of about 85% to 90%, Pickett said.

Maplewood also has another Inspir community coming together in Washington, D.C., Meanwhile, though the community’s groundbreaking was delayed about a month to January 2025, according to Omega leadership

In the third quarter of 2024, Maplewood paid Omega $12.1 million in rent, which is more than the $11.8 million rent the operator paid the Hunt Valley, Maryland-based real estate investment trust (REIT) in the second quarter of the year. Looking ahead, Omega management expects the operator’s ability to pay its contractual rent will continue to improve.

Over the summer, Omega reached an agreement with the estate of Maplewood’s late former CEO Greg Smith to transition control of the company, including its leases and loan agreements with Omega, to “key members of the existing Maplewood management team.”

A probate court approved the agreement, and it now faces regulatory approval, according to Omega.

Omega saw a year-over-year increase in revenue to $276 million for the third quarter compared to $242 million in 2023. The leading cause for the increase came about from operator restructurings and new investments completed between 2023 and 2024.

Megan Kroll, senior vice president of operations, said that occupancy for the company’s senior housing portfolio is still continuing to climb, though the industry is beginning to return to cycles, with the winter months in particular seeing a slowdown. Part of the slow increase in occupancy is attributed to improvements in staffing, though it still remains a concern for Omega.

Daniel Booth, Omega chief operating officer, said there is likely going to be increased acquisition activity over the next 12 months due to the amount of capital in the space and the Federal Reserve recently cutting rates.

“There’s no one reason to point to to tell why that’s become so active,” Booth said. “There is more capital now, so I think overall, that’s just great in a very active market.”

The company’s annual revenue run rate exceeds $1.1 billion, with more than 25% of the revenue coming from its senior housing portfolio, according to Pickett.

Omega Healthcare Investors stock closed at $42.47, down 0.14% from the previous close.