Expanding an existing campus is the most common way that continuing care retirement communities plan to grow for now, according to a new survey.
Seventy-five percent of those surveyed at the recent Ziegler Greystone Executive Symposium gave that response, reported Lisa McCracken, director of senior living research and development at Ziegler, in the latest Senior Living Finance Z-News e-newsletter. Seventy-five people were surveyed, she said.
Redevelopment of an existing life plan community campus was the next most popular route to growth, cited by 56% of poll participants. Half of all respondents said their CCRCs planned to offer new service lines as a way to grow. All other options to the survey question about growth — partnering, developing new campuses in new or existing markets, acquisitions, mergers, and selling existing campuses — garnered responses of less than 50%.
Not surprisingly, recruiting and retaining talent was the No. 1 threat identified by meeting attendees, with 75% of them citing it. Wage rates garnered a vote from 50% of respondents. All other possible answers to the survey question about threats — operating costs, for-profit or not-for-profit competition, the regulatory environment / reimbursement changes, real estate, and the ability to renew current financing obligations — generated responses of less than 50%.
For details, see the newsletter.