ASHA 2020 Annual Conference Recap
The American Senior Housing Association (ASHA) held its annual conference on January 22-24, 2020 in Palm Desert CA. As one would expect this time of year the warm temperatures were enjoyed by all, especially those who live in the parts of the country that actually have winter weather.
Attendees included operators, lenders, private equity firms and REIT’s as well as others interested in the space. JCH had the opportunity to meet with new and existing clients. Available products on the market, labor shortages and census issues continue to be hot topics of discussion.
ASHA’s primary focus in the senior housing sector includes independent living, assisted living and memory care facilities. Most folks that we spoke with are still bullish on the sector, with the ideal asset type being a multi-level, such as Assisted and Memory Care. The least favored product type currently seems to be stand-alone memory care buildings.
Attracting High-Quality Labor
Most savvy operators are beginning to realize that attracting qualified labor is, in reality, a two-step process. First, senior housing must change the perception of caring for the elderly from a negative to a positive; highlighting the personal rewards of caring for the elderly as an honorable career, not just a job. Secondly, operators are going to have to offer entry-level employees higher wages than if they worked for Wal Mart or McDonald’s.
When will Census Stabilize?
Census, or should I dare say lack thereof, continues to be a major cause of concern for operators large and small. The consensus seems to be that this development cycle happened too soon. The average age of residents entering senior housing continues to increase and so their length of stay is reduced and acuity levels are increasing. While the average age of a baby boomer today is 75, most won’t be entering senior housing facilities for another five years. The penetration rate of potential residents to actual residents moving in continues to be low, leaving operators wondering how to attract them to their facilities. Some are adding more technology and dining options, while others are creating opportunities for potential residents to “test the waters” by offering activities for them to participate in… perhaps an exercise program or allowing them to use the facility beauty salon before signing a lease.
Make Your Next Senior Housing Investment with The JCH Specialists
As a loyal attendee of the ASHA conferences, our network delivers top resources, connections, and information. We are a team of exceptional brokers and investment specialists, providing keen insight and advice to every client and customer. Our combined experience allows you to make your senior housing investment flourish within the senior housing industry.
We offer a variety of services, whether you choose to buy/sell assisted living facilities or buy/sell skilled nursing facilities. Our team manages investment portfolios of all types and sizes to increase your wealth and profitability.
The JCH Group investment specialists are available with real-time information and extensive experience to make intelligent decisions that deliver unmatched results. To make your next senior housing investment the right one, work with the JCH Group, the leading brokerage of the senior housing industry.