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Two years ago, Jaybird Senior Living experienced sweeping changes across its organization as the company sought to realign its partnerships and prepare for future opportunities, according to President Justin Wray.
In 2022, the organization had grown to over 70 communities. Fast-forward to today and Jaybird oversees 38 communities, most of which are wholly-owned by Jaybird or include a controlling interest.
“We made a change to really make sure that we had partners aligned with what our vision was for the future,” Wray told Senior Housing News. “We’re getting back into the standpoint of evaluating new partnerships that really line up with what we’re trying to accomplish.”
After realignment, Wray said Jaybird is once again positioned for new growth—highlighting plans to bring on 10 to 12 properties this year to the company’s managed portfolio, if deals pencil out.
“I anticipate that this summer we’ll be back to nearly 50 communities,” Wray said.
This time of “renewed focus,” as Wray puts it, has helped place the organization on stronger footing to improve operations and care while driving results.
“We have a foundation that can support upcoming changes and I feel confident and strong that we have the foundation that can support growth strategically,” Wray said.
To succeed in new growth, Jaybird will focus on reducing turnover, improving community-level staffing challenges while embarking on new opportunities in regions untouched by the Cedar Rapids, Iowa-based operator.
Realignment starts with values
It’s often said in the senior living industry that operators and capital partners must be on the same page if either entity is going to thrive and achieve forecasted financial returns, and the industry has witnessed a push for greater ownership by operators in the last two years.
While outside equity continues to flow into the senior living industry, many longtime ownership groups and their operating partners in the industry have worked towards finding greater alignment coming off of historic disruption seen between 2020 and 2022.
“This is a business of people taking care of people and your capital partners have to understand that equation,” Wray said. “We looked at it from a strategic standpoint and we wanted to find out who we are at our core and how we can make sure the vision of Jaybird continues to thrive.”
Wray noted that some of its past ownership groups just “weren’t the right partners.”
“When an operator and capital partner aren’t moving in the same direction—whether it’s around investment timelines, expectations for reinvestment or tolerance for innovation, it creates friction that ultimately impacts care delivery and team morale,” Wray said.
At present, Jaybird owns 23 communities, with joint venture agreements on two communities and three under triple-net lease structures. In the years ahead, Wray expects the company to grow its owned portfolio by “a few communities” annually. In February, Jaybird secured acquisition financing for two assisted living and memory care communities in Indianola and Mason City, Iowa. For example, Jaybird is in the midst of closing five communities the company will purchase this year.
To pair the owned communities with its third-party managed portfolio, Wray said the organization wants to align its managed communities regionally with the company’s existing footprint.
But at the same time, Wray said Jaybird isn’t afraid of growing in new states. In January of this year, Jaybird acquired two communities in Bern and Pikeville in North Carolina, in partnership with CareTrust REIT (NYSE: CTRE). Later this year, Jaybird is set to enter into three new states: Michigan, Ohio and Utah.
“While the Midwest is the root of who we are, we see an opportunity in these other regions to start building out opportunities there,” Wray said.
In characterizing the relationship between Jaybird and CareTrust REIT, Wray said there was a “significant focus on collaboration” with the San Clemente, California-based real estate investment trust.
Other recent growth with CareTrust came in the form of the acquisition and rebranding of two memory care communities in Bartlett and Elmhurst, Illinois.
New growth for Jaybird won’t always be rooted around primary, metropolitan markets. Wray views secondary and tertiary markets as a strong opportunity for senior living providers as a whole, because organizations have the potential to be “the employer of choice” within those smaller markets.
Focus on operations and staffing intensifies
Senior living providers have fought hard in the last five years to reduce turnover and improve retention within their ranks, and in 2025, Wray said Jaybird would continue to focus on closing the back door on staffing.
With turnover rates improving across the company compared to recent years, Wray sees an opportunity to further invest in community-level staff, providing them the tools they need to provide quality care to residents. He credits the company’s “Flight School,” a leadership development program, with helping improve staff retention.
Annually, the company selects up to 10 participants to enroll in the year-long program to teach frontline staff important tasks at all departments, from human resources to sales and marketing. Staff are then paired with a mentor to further build leadership skills, Wray said.
Also new in 2025 is the company’s revamped wellness program, known as Ascend, which was recently expanded to allow staff to participate. Available resources involve areas such as financial planning and building healthy lifestyles.
“I’ve seen it time and time again that when we have the right team in place, the results follow,” Wray said. “We want to make sure we’re investing in our community-level staff.”
In the last two years, Wray said, Jaybird drilled down on expenses and made “huge improvements” to the company’s effort to tighten the purse strings, reporting that some buildings, including some under 100 units, are generating 40% operating margins.
With occupancy and margin improving, Wray said Jaybird now has the ability to review potential ancillary revenue options, including a joint venture on a pharmacy to provide medications for residents.
“We’re looking at what we can do to surround the business to make sure that we’re continuing to allow other revenue stream opportunities,” Wray said.
In preparing to take on new communities later this year, he said it would be critical to provide the attention and support needed during integration into the company’s managed portfolio to “set the foundation” for years to come.
“I have the utmost optimism about 2025,” he said. “We’ve built a strong team and we have a great foundation and I think if we can put all the pieces of the puzzle together, it’s going to be a pivotal year for us.”
