It was exciting to talk to Chuck Herman, Chief Investment Officer of Health Care REIT, a New York Stock Exchange traded company focused on financing and owning senior living projects.  They are seeing current timing as an opportunity for investment in senior living and healthcare.  Construction costs are down, cost of capital is down, and new product in a demographically favorable improving economy creates opportunities. 

One third of their funding is to start-ups with experienced people who have a successful track record in other companies, one third is to regional operators, and one third is to the large national developers looking to diversify their financial risks.  They are talking to clients of ours in both Florida and the Midwest. 

We are also seeing banks starting to be more willing to lend for senior healthcare.

Construction prices are low, at levels not seen in a long, long time, with demand down.  But recent indications are that construction activity is picking up, and it doesn’t take long for material suppliers to pick up on this.  Note the following:

• Lumber prices are up more than 30% since January 1st.  And increased costs on a project recently priced by over $200,000.  Fortunately other prices were were down to offset this.
• Drywall material cost increased 20% May 10th, the second 20% increase this year.
• Roofing manufacturers increased their prices from 5 – 7% in February, and have another increase effective May 1.

In recent years, many families and individuals have had to put the dream of owning a home on the back burner due to the tremendous rise in the purchase price of new and previously owned houses. When the lending crisis hit and easy mortgages dried up, private homes became even harder to buy. These are two of the reasons apartment living has become a more practical alternative for many people. And it’s a prime reason apartment construction makes so much sense for smart investors.

The team at The Douglas Company can help you take the first steps toward succeeding as an apartment complex owner. We’re experts in apartment construction and renovation, and, over our decades in business, we’ve led or been involved with many apartment construction projects in Ohio and other states.

As a leading provider of healthcare construction services, The Douglas Company has directly served healthcare management companies and owners of assisted living facilities for several decades. Indirectly, we’ve also served tens of thousands of elderly residents by providing each of them with a safe, well-designed, well-built home away from home, and thousands of employees of those various facilities by providing them with a convenient, efficient work environment.

The Douglas Company is an Ohio senior living construction management company. Over the years we’ve built and renovated dozens of assisted living communities, senior care and rehabilitation centers, health campuses, nursing homes, and retirement villages. In fact, as of May 2010 we’ve been involved with the building or renovation of more than 6,500 such units. That means we have a tremendous wealth of experience in the area of senior living construction.

As we’re preparing the initial plans, working with architects, and completing each phase of construction, we’re considering the people who will live and work in the building, as well as those will visit: the residents, their family members, and the facility’s staff. As a leader in senior living construction, we’ve built a solid reputation by providing all these end users with consistently well-designed, well-built, safe and efficient facilities.

In terms of sheer numbers, the Baby Boomers represent perhaps the largest generation of Americans in history, and as the boomers reach their golden years, a larger percentage of the population will be looking for assisted living facilities to call home.

We’re Your Best Choice for Assisted Living Construction

The Douglas Company is a regional leader in assisted living construction. In fact, since 2003 more than 60% of the projects we’ve participated in have revolved around meeting the unique needs of the senior community. More specifically, approximately 40% of those projects have been related to assisted living construction.