Demand for senior housing is projected to remain strong well into 2020. Development 65 is perfectly positioned to meet the senior living market needs into the coming years.
An improving economic environment, an aging population, healthcare reform legislation and new services continue to drive industry growth. IBISWorld estimates industry revenue will grow at an annualized rate of 4.8%, soon reaching $76.2 billion. As the housing market improves, more seniors will be selling their homes in exchange for paying resident fees.
A key external driver of retirement community growth is the growing number of adults aged 65 and older. According to the Assisted Living Federation of America (ALFA), the average age of residents in assisted living facilities is about 87 years. Growth in the population of adults aged 65 and older and an increase in the average age of this group will strengthen industry demand. As people age, they need more assistance and demand for retirement and assisted living communities is on the rise. An aging population, along with a growing need for Alzheimer’s and dementia care are responsible for much of the industry’s growth.
Development 65 carefully analyzes properties, projects and local market drivers to determine whether a project is able to meet our current goals. We will only enter in into our development pipeline once our team properly vets its potential.
WHAT WE'RE DOING
Real Estate Development
SUPERIOR SENIOR LIVING
In today’s changing real estate and business market place, it is challenging to achieve attractive rates of returns unless you are focusing in viable high growth areas, and creating value in the project.
D65 has identified an opportunity that incorporates these objectives and make for an exceptionally strong real estate and business opportunity. The higher growth component of the project is an independent, assisted living, and memory care senior housing development.
The value added component of the project is D65’s ability to assemble a team and to successfully perform the key aspects of development for the project. Based on both national and local market trends and empirical data, D65 is confident that the culmination of these efforts will result in a successful 166 unit Senior living facility located in east Bloomington, Minnesota.
The Development 65 team has been working with its key partners and other external resources for the past 24 months in an effort to bring this project from inception to full completion. The key aspects of this process include land acquisition, entitlements from the City of Bloomington, project design, engineering, construction, project marketing and long term management of the completed project.
To date, all the key pre-construction elements have been completed including the land acquisition and all entitlements. D65 now seeks to raise equity to couple with debt financing for the purpose of taking Portland Commons from development to a completed fully stabilized, successfully operated senior living facility.