Subprime Fallout a Plus for Senior Housing Developer
As the baby boom generation retires, senior housing is one sector that has remained strong even in the present downturn. National Real Estate Investor has an interview with Patricia G. Will, CEO of assisted living owner and operator Belmont Corp. who says the housing slump has made her life easier. With residential developers sidelined for now, there is less competition for land positions. And while some raw material prices remain high due to overseas demand, Belmont is finding it easier to negotiate with contractors and subcontractors for services. Although banks are demanding more equity and higher credit when making loans, Wells says the senior housing market has never been highly leveraged and construction loans are still affordable.
