Spring Arbor Management and Allegro Management are coming together to form a new senior living operator with 53 communities spanning markets in the eastern half of the U.S.

Through the deal, Foundry Commercial is bringing together Spring Arbor and Allegro to form an operator called Allegro Living, which post-combination is set to operate 53 senior living communities across 13 states in the U.S. Midwest, Southeast, Northeast and Mid-Atlantic regions. Foundry Commercial is with the deal gaining a major ownership stake in the combined operator.

Current Allegro President and COO Doug Schiffer will lead the new operator as president and CEO, with Allegro CFO Bob Karn keeping his respective title post-merger. Zach Strunk, current senior vice president of senior living operations for Foundry Commercial, is slated to assume an expanded role as chief asset officer, and Maddron will continue to lead strategy for Foundry’s overall senior living initiatives and serve in a strategic role for Allegro Living.

The combination creates “growth opportunities which come from scale and provide a much stronger platform to serve the needs of our capital partners and residents,” Foundry President of Healthcare Services Kevin Maddron told Senior Housing News.

“We recognized the quality of leadership within both organizations as well as a stellar reputation for providing great care for our associates and the residents they serve and wanted to continue doing so together,” he said.

Lisa Widmier with Vant.Age Pointe Capital Management and Advisory, Inc. assisted in the merger. Foundry Commercial declined to provide exact terms of the deal.

Maddron noted Allegro Living will be “well capitalized” moving forward with Foundry’s backing. 

Spurring on the deal was the fact that both Spring Arbor and Allegro sought expansion beyond their respective and complimentary geographic territories. The merger is the result of mutual ongoing conversations that began early last year, he added.

Foundry’s plan is for both operators to first “fly side-by-side for a season,” before they officially merge operations, Maddron said.

There are currently no near-term plans to consolidate or eliminate the brands in the markets they cover. Immediate next steps include combining systems and processes, along with creating new roles and initiatives to address the needs of associates and residents.

“​​The Spring Arbor name is an important legacy brand for us that will continue. We believe Allegro Living is a forward-thinking identity, one that is more recognized in the industry,” Schiffer said. “We will very much continue our brands under Allegro Living, and Spring Arbor is an important part of that. It is not going away.”

Looking ahead, Schiffer said Allegro Living now has more depth of access to new regions across the Northeast, Mid-Atlantic, Southeast and Midwest.

“We can be a full-service operator with sufficient oversight to ensure we deliver the results our residents and partners expect,” Schiffer said. “We will continue to look at ways to expand our footprint where it makes operational sense for our team members.”

The combination of the operators represents Foundry’s latest upsize in the senior living industry. Last year, the company added 16 communities to the Spring Arbor portfolio. The company initially acquired the platform from HHHunt in 2022.