Typical Unit Count for Senior Housing Properties
What is the Typical Unit Count for a Senior Housing Property?
The typical unit count for a senior housing property often ranges between 50 and 150 units. This range is influenced by a combination of factors that impact both operational efficiency and resident experience:
- Operational Efficiency: Properties with at least 50 units benefit from economies of scale, where fixed costs like staff, maintenance, and utilities are more efficiently distributed across a larger number of residents. This scale allows operators to offer more services and amenities, which are critical in senior housing, without significantly increasing per-unit costs.
- Resident Experience: Smaller properties can provide a more personalized environment, fostering a close-knit community feel, which is essential for seniors who often prioritize community interaction. However, fewer than 50 units can make it challenging to offer diverse services (e.g., wellness programs, social events) and may limit access to comprehensive on-site healthcare options, making it less sustainable long-term.
- Licensing and Care Levels: Senior housing encompasses a spectrum of care—from independent living to assisted living and memory care. For properties offering more extensive medical or care-related services, like assisted living or memory care, a higher unit count (up to around 150) helps spread the costs of specialized staff and facilities, such as nurse stations and therapy rooms, making these properties more financially viable.
- Market Demand and Site Limitations: The typical unit count is also influenced by local demand, zoning regulations, and land availability. In areas with higher demand, larger properties are more common, but physical site limitations or zoning restrictions can cap the number of units.
Overall, 50-150 units tend to strike a balance between offering a range of services and maintaining a manageable scale for operational effectiveness and a sense of community, which are crucial in senior housing.
