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For years, the senior living industry has discussed creating new models suitable for the middle market. But for all that effort, the industry still struggles in 2024 to meet the needs of middle-income consumers.
When I talk with operators, what I often hear is that it’s just hard to make the math work in the middle market, given the high cost of providing senior living. I also believe that operators aren’t all that incentivized to make their services more affordable. Many are betting they can subsist on demand from more affluent individuals down the road, partly as a way to recoup margins lost during the pandemic.