SENIOR OPTIONS
With people living longer, NM’s aging population offers a growing demographic that developers are looking to capitalize on
NM’s aging population offers growing demographic developers hope to capitalize on
Albuquerque resident Roger Proctor sold his longtime family home some years back, moved into a 62-plus apartment complex for a while and now is seeing if assisted living fits his lifestyle. When Proctor, a widower with a grown son, moved into Elan Santa Monica in April, he was the third person to reside at the newly built assisted-living and memory-care community.
After taking on the role of caregiver for his late wife, who suffered from a debilitating illness for 15 years and died in February, Proctor said he was at a point in his life where he needed some help of his own, especially now that he has Parkinson’s disease.
He visited Elan three our four times before moving from his apartment near the Balloon Fiesta Museum. “Downsizing was hard to do, said Proctor, a retired court reporter, who opted for a “studio plus” floor plan at the Elan, a private-pay community where the average unit rents for $4,200 per month but includes utilities, three meals a day and caregiving assistance. For extra peace of mind, he likes the fact that a registered nurse is on the premises should an emergency arise.
“It feels like a hotel,” Proctor said, working out in the fitness center at the community, which is located at 6901 San Vicente NE. He enjoys around-theclock assistance, socializing with other residents and leisurely paging through the daily newspaper, which he said he reads from cover to cover.
Now getting around on a walker, Proctor likes to sneak down to the dining hall after hours, where he can get a scoop of ice cream or a cup of coffee from a friendly staffer. At full occupancy, Elan is projected to have 30 to 40 employees.
With demand for senior living options expected to increase as people live longer, Elan Santa Monica, which was built by Titan Development, is looking to fill its 112-room community with residents like Proctor, who have the means to consider housing below the level of a nursing home.
Potential for growth
Titan, best known for its Broadstone apartment communities and mixed-use projects like Legacy@Journal Center, invested $23 million in the Elan project, and it is not the only developer looking to cater to potential senior housing residents.
The three main senior housing
categories include independent living, assisted living, and memory care. Some of the more recent senior-living projects other than Elan that have opened for business in the past year include:
MorningStar of Albuquerque, a 69-suite assisted-living community at 8051 Palomas NE. MorningStar’s arrival in New Mexico represents a $17 million investment.
The Neighborhood at Rio Rancho, which consists of 210 units on 12 acres developed by Haverland Carter Lifestyle Group, the nonprofit company behind the La Vida Llena retirement communities. The all-in-one community at 900 Loma Colorado NE has options for independent living, assisted living and memory care.
s called Coronado Villa, which is across the street from Elan Santa Monica and was built by Lincoln, Neb.-based Resort Lifestyle Communities, whose name describes its business.
At prices ranging from $1,500 to $5,000 a month, and in many cases an upfront buy-in, these living situations aren’t always options for seniors living primarily on Social Security and with modest savings. Many prefer aging in place, thanks in part to the support of family members or by hiring home care companies, which have proliferated in the Albuquerque metro area in the past decade.
For some, funds not an issue
But other seniors who aren’t cash strapped are opting for housing arrangements like independent living or assisted living, thanks to decent retirement incomes, personal savings and help from children who often pool resources to help mom and dad.
Many retirees or soon-to-be retirees are in fine financial shape, said Julie Ferguson, director of senior living for Titan, which develops the facilities and then partners with management companies for day-to-day operations.
“They’ve worked at good-paying jobs for decades, saved through 401(k)s, and have their homes paid off,” said Fergson of the target customers in the Northeast Heights, a “maturing neighborhood,” and the key demographic.
Ferguson said an adult child, usually a daughter, makes the decision to move a parent to assisted living in about one out of three cases. In a recent survey of 500 Care.com users, nearly three-quarters of those inquiring about senior care were adult children. “A place like Elan is convenient for the residents’ kids, many in their 50s and 60s, who want to stop by before or after work or visit on the weekends,” she said.
“It’s an asset class that makes a lot of sense for us,” said Ferguson, referring to four senior living projects that Titan has developed in Texas, Florida and New Mexico. Titan retains ownership of the real estate but contracts management of Elan to Life Care Services.
Construction bright spot
While few would call the construction activity a senior housing boom, it has been a bright spot in the development and construction sectors. It’s certainly a demographic that developers are looking to capitalize on.
“We feel bullish about Albuquerque’s senior living industry,” said Kurt Browning, Titan’s chief development officer. And with good reason.
U.S. Census projections show the state’s senior population is on a strong upward trajectory. The proportion of New Mexico’s population over 60 is growing. The U.S. Census Bureau estimates that more than 30 percent of
New Mexico’s population will be over age 60 by the year 2030, an increase of nearly 50 percent from 2012. A good percentage of those people (aged 65-84) will age in place, Browning said, meaning they will continue to live in their long-time homes.
“But if 20 percent need specialized housing, that’s a growing clientele that few developers are going to pass up,” he said.
He said Titan is scoping out other areas in the Northeast Heights for future senior-oriented living communities, especially those focusing on assisted living.
By New Mexico law, assisted living communities must provide three meals a day, have a nursing coordinator available 24/7 and provide assistance with “activities of daily living.” Those can vary from helping people get dressed to dispensing medication and caring for those who are incontinent. Some places offer an “assisted plus” option, meaning the level of assistance can increase with the need.
Some of the biggest growth is expected to be in memory-care facilities — a need that continues to increase as more people are diagnosed with Alzheimer’s disease and other dementias.
By their very nature, memory care facilities are smaller, often housing 12 to 18 residents per wing. Elan just opened its own memory care unit.
And at The Neighborhood at Rio Rancho, a memory care wing comprises 24 single-occupancy rooms that can be personalized by the resident.
Providing multiple options
The newest trend in senior housing is to offer all the housing options in one senior community.
That’s the plan for The Neighborhood, where there are 90 independent living apartments, as well as 48 assisted living units. Demand for independent living apartments for residents 62 and over is so strong that developer Haverland Carter soon will build a second phase of 90 new apartments.
The Neighbhorhood brands itself as a “life care community,” said Bob McDonald, the facility’s executive director. It’s more than a name change from “retirement” community, it’s a new philosophy built to meet the needs and wants of aging baby boomers, he said.
Life care communities are designed for very active and healthy lifestyles, versus “the sedentary, we’re-retired-now lifestyle,” McDonald said.“It’s a different way of looking at health and wellness activities,” he said. The Neighborhood sponsors outings, wine tastings and a community garden for those who want to pluck a fresh tomato from their own patch for a salad.
It also incorporates a broader philosophy that seniors can receive the care they need for the remainder of their lives.
With independent- and assisted-living units, as well as a memory care facility, these new complexes allow husbands and wives, brothers and sisters and lifelong friends to continue living in the same community, no matter how the care needs change.
Senior housing doesn’t just cater to physical needs of fewer stairs, wider hallways and safer bathrooms, it provides connections to people, activities and conversation, McDonald said.
“Over the next 15 to 20 years it will be interesting to see how the concept of retirement communities will evolve, and how they work for baby boomers,” he said. “... Baby boomers are a different breed.”