Senior housing trends will drive construction, sales

A building boom is coming. Unlike other building booms, this one will be geared toward a specific segment of our population the baby boomers. The Federal Interagency Forum on Aging Related Statistics predicts the number of Americans age 65 or older will double during the next 30 years.

As the population ages in the coming years, the demand for senior housing will increase.

According to the National Investment Conference a nonprofit education forum in Annapolis, Md. the senior housing market will more than triple, growing from an estimated $126 billion in 2005 to $490 billion by 2030.

How will the retirement housing market in southwest Missouri be affected? Here are some trends that may emerge during the coming building boom.

Trial and error. According to Teresa Hall, developer and partner at the Residences at Elfindale, the number and variety of senior housing options in Springfield will increase significantly in the coming years, and the local market will experience a fair amount of trial and error.

"As demand increases, a lot of builders and developers will enter and leave the senior housing market," Hall said. "I think we'll see a situation resembling what went on in the 1970s when builders rushed in to build congregate care buildings, only to find there really wasn't a significant demand for that type of housing."

Homey and elegant. Unlike their parents, baby boomers will resist moving into a retirement home that looks or feels like an institution. As a group, these seniors also are more affluent than their parents, and they will favor retirement communities with a homey but elegant atmosphere.

Aging in place. "Hell no, we won't go," may once again become the battle cry of aging baby boomers who will resist moving out of their homes. As a result, the in-home health care market in Springfield will increase. So will the home remodeling market.

Seniors who choose to age in place will hire contractors to widen doorways, install ramps and grab bars where needed, and make other necessary changes that will make their existing homes more senior friendly. Locally, niche market businesses that specialize in home remodeling for seniors may emerge.

Hybrid senior housing. Communities that offer a continuum of care independent living, assisted living, and skilled nursing care may become more popular in the Springfield area. These hybrid developments will allow seniors to stay in the same retirement community as their housing and care needs change.

Spacious accommodations. From apartments to houses, seniors will favor larger residences that allow them to keep more of their cherished furnishings and mementos.

Senior-friendly homes. Area builders and developers will begin constructing new homes filled with senior-friendly devices, including brighter lighting, lighted wall switches, wider doorways, lowered toilets and bathtubs and ramps and handrails.

Housing for the active senior. Thanks to good financial planning, some baby boomers will retire at an early age. These retirees will want a home gym, and maybe even a home office.

Niche market options. Niche market senior housing options, which bring together seniors who share a particular interest or medical condition, will continue to increase in the future. The number of retirement resort communities, which appeal to physically active seniors who are interested in tennis, golf and other activities, may increase throughout southwest Missouri, particularly around Branson and communities that border one of the area lakes.

Pay for what you use. More and more facilities will adopt a level-of-care fee structure. This fee structure will make senior housing appear more affordable at the lowest care level, but costs will spiral up as more services and care are needed.

Economies of scale. As the senior housing industry grows, large senior housing organizations and developments will emerge. However, seniors in southwest Missouri will continue to favor smaller, more intimate housing developments.

Edicts from Washington. The government will increase regulations governing senior housing. The demand for affordable housing geared toward low-income seniors also will increase in southwest Missouri.

Consumer education. Most consumers don't know what terms like CCRC (continuing core retirement community) or assisted living mean. The government and private industry will launch consumer educational campaigns that define and describe each senior housing option and provide helpful comparison information. Baby boomers also will expect the staff at senior housing facilities to be more knowledgeable.