One significant strategy for growth in the senior living industry can be and is occurring through the expansion of existing communities. There are several benefits to this approach. If enough land exists on a site this eliminates the need to find and acquire a new site which saves time and expense. In addition, it allows providers to take advantage of several other things including:
- the value of their reputationthe opportunity to add elements that are not present such as expansion of wellness amenities and other programmatic spaces
- creating new residential units which may be more responsive to current market preferences
- the ability to meet the needs of their waiting list
- reinforcing the perception that the community is thriving and interested in keeping current and vital to seniors
Many organizations are pursuing this strategy and more will undoubtedly do so in the near- term. An understanding of current local area market conditions is an element that is essential to successfully implementing this strategy.