Reading over a May 5th article posted by Alyssa Gerace from Senior Housing News, which ponders whether or not the entry fee model for retirement communities will remain viable, I couldn’t help but think about the recent exciting and historic mens finals match at Wimbledon because I felt a bit like a spectator; my head going back and forth with each shot. The days of entry fee CCRCs are coming to an end…wait… maybe not. Clearly, it depends on who you ask.
As described by Gerace, “…some expect rental continuing care retirement communities (CCRCs) to gain market share in the next few years while others contend the diversity of the baby boomer generation will support the near-term viability for the entry fee model as well.”
The great recession had a negative impact on CCRCs, yet retirement account values have rebounded and the housing market is showing significant signs of improvement. So will this mean that prospective residents will still be willing to fork over hundreds of thousands of dollars just to enter the gates of a full service retirement community? In some cases the answer appears to be yes.
