Continuing Care & Assisted Living Facilities Industry Overview
Excerpt from Continuing Care & Assisted Living Facilities Report
Companies in this industry provide residential and personal care services for the elderly and others who need or want assistance. Major companies include Brookdale Senior Living, Five Star Senior Living, and Sunrise Senior Living (all based in the US), as well as Housing & Care 21 (UK), Sienna Senior Living (Canada), and Tertianum (Switzerland).
Demand for continuing care is strong due to rapidly aging senior populations in the US and other developed nations. The profitability of individual facilities depends on efficient operations and positive relations with payers, including families and government and commercial insurers. Large companies have some economies of scale in administration and purchasing. Small operators can compete effectively by offering quality service and attractive amenities, or by operating in a prime location. The US industry is fragmented: the 50 largest companies account for about 30% of revenue.
Products, Operations & Technology
The industry includes continuing care retirement communities (CCRCs, about 52% of US revenue) and assisted living facilities (about 48%) for the elderly. CCRCs offer personal care (dressing and bathing) and daily living provisions (housekeeping, meals, leisure, and social services) in a variety of residential settings and include on-site nursing care facilities. Assisted living facilities provide similar room, board, supervision, and daily assistance services, but do not provide on-site health care.