NIC INSIGHTer: Active Adult Growth
“What do you think is currently the biggest barrier to Active Adult growth, if any?”
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“Currently the biggest challenge is the capital markets coupled with Active Adult being a newer product type. With very limited dollars (both equity and debt) available for construction right now, investors are highly selective and sometimes less likely to enter into a product type they aren’t experienced in.”
Sarah Anderson, Senior Managing Director, Newmark Lument -
“The biggest barrier to Active Adult growth is developer and operator’s ability to deliver a differentiated product that is easily understood and valued by our customers/residents.”
Ben Burke, Managing Partner, Headwaters Group -
“I can answer your question in one word…capital! While progress has been made with lenders and equity investors, there is still a limited number of capital providers that understand or have experience in active adult – primarily because there isn’t much supply yet.”
Jeff Patterson, Co-Founder & CEO, Sparrow Partners
