Upscale Urban Senior Housing Residences Part of National Boom
- Dec 04, 2020
Inspir Carnegie Hill, a 23-story, 215-unit luxury senior living property opening this fall, is part of a boom of upscale high-rise residences being developed in New York City and metros around the U.S.
In addition to Inspir Carnegie Hill, developed by Maplewood Senior Living and Omega Healthcare Investors, Inc. similar New York City projects include The Watermark at Brooklyn Heights from Watermark Retirement Communities and 2330 Broadway and Sunrise at East 56th, both in Manhattan from partners Hines and Welltower Inc.
Atria and Related Cos., which two years ago announced a $3 billion joint venture to build upscale urban senior living residences, is teaming up with Welltower and Spitzer Enterprises to develop about 126 units at Spitzer’s 44-story tower at 451 10th Ave. It will be the first East Coast location for the Atria-Related JV, which is building properties in San Francisco and Silicon Valley.
Debuting during a pandemic is challenging and comes as senior housing occupancy fell 2.6 percentage points in the third quarter, from 84.7 percent to 82.1 percent. That’s the lowest level since the National Investment Center for Seniors Housing & Care began reporting the data, said NIC Chief Economist Beth Burnham Mace.
“It’s not simply the high-end product that’s affected,” she said. “It’s all senior housing across the board, regardless of the product type, regardless of the location.”
Preleasing activity is increasing, however, said Zach Bowyer, head of Alternatives, JLL Valuation Advisory. “In most cases, contracts are being signed at or near the original projected rental amounts, indicating affordability has yet to be an issue,” he said.
Maplewood President & CEO Gregory Smith said the pandemic has not deterred interest, and, as of late October, Inspir Carnegie Hill had received more than 75 deposits. The property will provide residences, assisted living, memory care and enhanced care options along with innovative programming, curated events, concierge services and high-end dining.
The building is LEED certified with an enhanced HVAC system and touchless building entry. Once COVID-19 hit, Smith said, they made the environment even safer by increasing outdoor air ventilation, using ultraviolet light sanitizers and thermal camera scanning for body temperature checks.
Bowyer said Maplewood’s enhancements are part of a shift in messaging from a focus on luxury accommodations to safety and security.
Sector Insights rotates among market rate/luxury housing, workforce housing, low-income housing, student housing, senior housing and mixed-use.