Edition: April 2008



 Real Property

 By Alan N. Nevin
PropertyMaps: MLS Real Estate Search


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Catering To The Aging
As we get older, our housing
and care demands change

Some 350,000 persons over the age of 65 walk among us in San Diego County, a number that will double in another quarter century. The massive increase is interesting, but perhaps equally interesting is we are one of the “younger” counties in the nation, as California is one of the youngest states.

We are young because we have a substantial immigration of Latinos who tend to be under age 30. Conversely, states like Ohio and Michigan have a net out-migration of younger folks, leaving behind a much older population. After all, if you were a young person on the way up in life, would you stay in Detroit after you graduated high school? Further, the northern states are less attractive for Latinos who grew up in communities with a temperate climate.

Nonetheless, our county is aging, albeit slowly. We also know that the definition of “old” has changed dramatically in the past quarter century. As our health care improves and persons work more years than in the past, they no longer consider 55 “old.” In fact, there doesn’t seem to be any particular numeric definition of old. Some senior communities require at least one person in the household over age 55. Airlines and other travel modes often use 62 or 65 as the age limit. And for most pension plans you do not have to make withdrawals until you are age 70.

It all does seem to boil down to you’re only as old as you feel.

Older folks (whatever that means) tend to stay in their permanent residence until they are literally forced to move into a communal facility. The traditional trigger to the move is the husband (rarely the wife) dying and the loneliness that follows.

We recently visited a series of age-restricted facilities and learned that the typical resident (75 percent to 85 percent) was female and most were over age 80. One was even 102 and still going strong.

Age-restricted communities in San Diego County come in all shapes and sizes and price ranges. Some like the Hyatt Classics high-rise in UTC can cost $1 million with monthly fees of $3,000 or more (including food, of course). Others are simple apartment units available for as little as $700 per month. Of the more than 200 age-restricted facilities in San Diego County, a large proportion are nonprofit or sectarian.

One of the newest “buy in” age-restricted communities is La Costa Glen, a rather plush facility in Carlsbad, kitty-corner from the La Costa Resort. It consists of a series of villas and three-story buildings with both independent living and assisted living services. The range of social activities would challenge Queen Elizabeth II.

The most typical facility offers independent living with meals and then, as needed, an assisted living facility. While few offer skilled nursing, many do have Alzheimer’s/dementia sections.

Of the age-restricted rental communities that serve meals, La Vida Real is probably in the Cadillac, or maybe even Bentley, class. Its 300 apartments include 200 independent living and 100 assisted living. It offers Alzheimer’s/dementia services. A two-bedroom independent living unit rents for $4,000-plus per month. It is basically a high class resort.

In the same vein, and only a modest notch below La Vida Real, is The Patrician, a 136-unit facility in UTC. Its location is superb and it has all the bells and whistles of a high class community, including fitness center, card rooms, music rooms and a wide range of social activities.

Numerous facilities in the county specialize in assisted living and Alzheimer’s Care. In other words, the folks there have passed the independent living stage. One good example of this type of facility is Sunrise of La Jolla, (located in Pacific Beach). With 24-hour staff and a very low ratio of staff to residents, it isn’t cheap at $5,000-plus per month, but the level of care is high. Sunrise is one of the nation’s largest chains of senior living residences.

One other example of an age-restricted community The Woodlands in San Marcos, which has extensive social services but no food offerings. It is just for folks over 55 who don’t want to tolerate the musical tastes of our younger citizens or perhaps don’t want to trip over tricycles.

Of particular interest is that we have not had a golf-course oriented age-restricted community built here in more than 30 years. One would think this would be prime territory for the Del Webbs of the world, but perhaps they prefer communities where it doesn’t take two or three decades to get governmental approval.

Del Webb Communities also is changing its mode to the extent they are no longer enamored with golf courses, as that sport has stopped growing in terms of players and operating costs are enormously. In its place, Del Webb is initiating communities with walking trails, pitch and putt golf courses and other offerings.

The Coachella Valley is the center for most of the golf course oriented age-restricted communities in southern California, with a massive Del Webb community and numerous others.

Another industry that has developed in recent years is the home caregiver. Rather than move into a communal facility, many seniors prefer living in their traditional home. Caregivers visit regularly, doing everything from shopping to helping with changing linens and laundry.

On balance, most of the facilities discussed here are not for the poor. The typical tab is between $3,000 and $5,000 a month. The communities with “entry fees” require mega-dollars.

The good news is, for most seniors, San Diego County has something to fit their taste. It sure beats spending your “golden years” in Cleveland.

Alan N. Nevin, director of economic research at MarketPointe Realty Advisors (marketpointe.com), can be reached at anevin@sandiegometro.com.


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