As retirement approaches for senior living organization CEOs, some boards of directors will look into affiliation if an obvious internal successor doesn’t exist, according to a recent white paper from Ziegler.

Approximately 30% of CEOs in the not-for-profit senior living sector will be retiring within the next five years, according to 2018 study conducted by the specialty bank. That number jumped to 73% when the time period considered was the next 10 years.

“Roughly 10,000 baby boomers turn 65 every day,” wrote Lisa McCracken, Ziegler’s director of senior living research and development and author of the white paper. “Many of these baby boomers are today’s C-Suite executives.”

Between 2014 and 2018, 50 CEOs transitioned among the organizations on the LeadingAge Ziegler 200 list of largest senior living providers, according to the white paper. In only 56% of those transitions, however, did the new CEO come from within the company. Those who came from outside the organization were most likely to come from another senior living organization.

Ziegler also looked into all of the sponsorship transitions between 2010 and the beginning of 2018 and found that almost half of those instances involved leadership change as one of the motivations.

Additional information is available in Ziegler’s white paper.