Belonging, Interaction, Wellness: 3 Models For The Future Of Senior Living 

Current industry data shows senior living demand is surging. And yet, average penetration rates could end up stagnating or even declining in the years ahead if operators don’t create the communities the boomers will want to live in.

Recent data from the National Investment Center for Seniors Housing and Care (NIC) shows that the industry must build 800,000 new units by 2030 to maintain 90% occupancy and a 10% market penetration rate, yet developers have only 200,000 units under construction as of the most recent count.

Even with record demand and favorable demographics, the lack of new supply puts the industry between a rock and a hard place, according to Ziegler President and CEO Dan Hermann.

“If we just move to 8% or 9% of these seniors, the buildings are going to be filled,” Hermann said during a webinar hosted by Love & Co. and Ziegler. “I think we’re going to actually have a crisis on how many seniors are boxed out because the waiting list is too long.”

Hermann said he hears from capital providers that are waiting” for the Federal Reserve to cut interest rates as many as two more times to make the economics of new construction pencil out. To date, the Fed has cut rates three times in 2025, from September to earlier this month, totaling a decrease of 75 basis points.

During the webinar, speakers outlined three models for improving communities today and meeting demand from tomorrow’s residents: “citizenship communities,” where residents have a large impact on daily operations and programmatic changes, university-based senior living properties that spur intergenerational connections and communities focused on longevity, wellness and cognitive health.

To create new communities that people want to live in today and in the future, the senior living industry may need to recalibrate the hospitality and resort-style mindset that has taken hold in recent years at some communities, according to Christian Living Communities CEO Jill Vitale-Aussem. This “awakening” came after Vitale-Aussem and her husband stayed at a resort following a hurricane, where they observed staff cater to guest needs so extensively that they felt “institutionalized” rather than supported.

“It really all came together over time that we need to stop with this whole idea that this is all about customer service and focus on as we get older, we deserve to be citizens as we have done our whole lives with meaningful purpose and opportunity to give back and be in communities where we belong,” Vitale-Aussem said.

Instead, the industry should focus on “person-directed care” and longevity to help older adults live well. It should also create a “citizenship model” that invites resident feedback and encourages staff to respond to new ideas in programming and broader community life, Vitale-Aussem said.

“We started realizing that the whole treating people as customers instead of asking how may I help you, is actually: how may I harm you,” Vitale-Aussem said. “We’re doing all of these things that take away meaningful purpose that perpetuate the idea that when we get older we have nothing left to give back and we should be recipients of care and services.”

Successful senior living communities today blend wellness, lifestyle and clinical services to help residents thrive later in life. But to get there, providers must create “meaningful experiences” rather than attempt to create a sense of meaning for residents, Vitale-Aussem said.

Christian Living Communities gives communities the flexibility to respond to residents’ desires and interests. The process has led to initiatives such as a resident ambassador program that welcomes new residents and new staff and familiarizes them with the daily rhythm of community life. Residents at CLC communities also lead interest groups, for example groups that manage gardening, she said.

“For me it was going from a place of being the manager here, a hotel GM, to like I am the mayor and the mayor’s job is to provide infrastructure so you provide all the things that the community needs to work to function and the second job is to build a social fabric and bring out the best in everyone,” Vitale-Aussem said.

Building future communities with closer ties to higher education could also continue as a trend to meet future demand. While still a minority approach, some senior living providers have partnered with universities and colleges to build on-campus communities or communities near campus. These projects can create intergenerational connectivity but they require intense collaboration to deliver programming and lifestyle offerings for older adults and students, according to Georgetown University adjunct faculty member Andrew Carle in the Aging and Health Program.

University-based communities can break down the stigma some older adults feel when considering a move, offering a more dynamic lifestyle with access to unique programming and performances. This allows older adults to tap into the “reminiscence bump,” a tendency to cherish memories formed in the late teens and early 20s, which can make the university environment more appealing and could improve resident engagement, Carle said.

These university-based communities can also take longer to build because strong partnerships must form among all involved groups, Hermann said. Still, the promise of these developments remains clear, Carle said, because they can meet residents’ cultural, programmatic and operational needs through a “true partnership” between the operator and the university.

“Longevity communities” are another model for future development. Longevity communities are senior living environments built on advancing science in wellness, aging and personalized clinical care. Unlike traditional life plan communities or conventional wellness programs, longevity communities proactively use “scientific wellness” that allows for detailed health assessments, predictive and preventative medicine and measurable outcomes to help residents live longer, more fulfilling lives, according to Longevity Community Consultants CEO Ted Teele.

“Senior living has a problem, because 90% of people don’t want to live in senior living because they view it as the place you go to die,” Teele said.

Given advancements in wellness and preventative lifestyle management, Teele said providers can now become “very proactive and predictive” about residents’ personal health risk factors. But changes like these will not occur overnight; leaders must think differently about operations to support stronger wellness and longevity initiatives within their communities.

“This is adaptive work, it’s not a program,” Vitale-Aussem said. “When you’re asking people to change the way they think and they behave, it takes a long time.”

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