Why market feasibility studies need a major upgrade
The market feasibility study is one of the only variables that hasn't changed in the senior living industry in the last 10 years. It's time to start looking at your market from a new perspective.
In the last 10 years, a lot has changed within the senior living market. From the cost of construction to customer expectations to Medicaid funding, very little looks the same as it did in the early 2000s. However, senior living providers should be wary of one variable that has not changed: the market feasibility study.
In a recent article published by Seniors Housing Business, Plante Moran Living Forward Vice President Jamie Timoteo discusses which market study measures need a major update to make them more effective. Some of these include:
- Assessing labor market statistics to determine whether you can staff your proposed project
- Reassessing how you draw the market area boundaries so you collect data on the right populations surrounding your proposed site
- Adapting demand predictions to include more than just penetration rates
- Considering the debt level of seniors in the community to predict more accurately whether they can afford your rates
Wondering how your community can implement these considerations into future market study processes? Check out the full article on the Seniors Housing Business website to learn more.
Whether you're developing a new greenfield for an independent living community or expanding memory care services within your assisted living community, Plante Moran Living Forward's senior housing market analysis and site selection services can help you feel confident your project will be a success. Before you break ground or expand, let’s discuss how we can ensure your market study truly supports your senior living construction project.
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