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Senior living operators seek to foster purpose, belonging and community. I think models that give residents more ownership over their living spaces and daily lives would only help that aim.
The current dominant model is private-pay and predominantly rental. It stems from a concept reborn in the 1970s and honed in the 1980s and 90s wherein older adults pay a fee and stay in an apartment-like setting tailored to their needs. Over time, that morphed into the senior living industry of today: Residents pay a monthly fee in exchange for senior living room, board and services.
It’s a model that has served the senior living industry well. I don’t think it’s the only one that operators must consider, though. I recently spoke with Villa Marin CEO Charlotte-Nicole Mashburn, who described to me the community’s unique model that blends senior living and ownership.
Villa Marin residents own their condominium units and help shape how the community operates through a board of directors and nearly two dozen resident-led committees. Using that approach, the community has kept its residents well and engaged.
Springboarding from that conversation, I think the senior living industry can create more opportunities for residents to own a bigger piece of the communities where they live, either through an actual ownership stake in their units or by giving them even more agency in deciding e how amenities including lifestyle, dining and wellness options are managed.
In this week’s exclusive SHN+ Update, I analyze the pitfalls and benefits the industry could face in pivoting to greater ownership opportunities, including:
– How existing ownership models function and thrive
– Planned developments that have carved out opportunities for ownership
– How ownership could help improve the industry’s value proposition
Boomers ‘holding the cards’ in real estate
Lending residents more ownership and agency could help attract the baby boomers, who are already used to having it.
The baby boomer generation holds $78.5 trillion in household wealth, which is over half of all U.S. assets, while making up roughly 20% of the population, according to the University of Michigan’s Department of Economics.
The industry is already competing against aging in place, as 90% of older adults over 65 want to remain in their current homes as they age. An analysis by Freddie Mac in 2024 found that two-thirds of boomer homeowners plan to move and want to downsize.
“Baby boomers are really holding the cards in the real estate market,” Jessica Lautz, NAR’s deputy chief economist and vice president of research, wrote in a National Association of Realtors blog post in October of last year.
If the boomers are holding the cards, senior living should consider creating developments that offer some component of ownership, while mirroring typical neighborhood structures like establishing a homeowner’s association (HOA) that shares the vision of a neighborhood’s future and ongoing stewardship.
Research by the Joint Center for Housing Studies finds that homeownership often provides a psychological benefit, directly tied to a sense of control, self-esteem and identity. These traits could help senior living providers better connect with older adults, recognize the difficulty of downsizing, and offer some semblance of shared responsibility through ownership of a home within a broader, master-planned senior living campus.
A survey from Clever Real Estate found that 54% of baby boomer-age older adults never plan to sell, and just 15% expect to sell within the next five years. Of those surveyed, 76% said homeownership provides financial security while 86% said owning leads to “a more stable home life.”
Tying ownership to resident engagement
In San Rafael, California, not-for-profit life plan community Villa Marin offers residents ownership and insight into how their community functions. The community’s founders established it in 1977, opened it in 1985 and residents have governed it since 1990.
Residents have full equity ownership of their condominium units, which helps Villa Marin connect with older adults in the process of downsizing. Villa Marin sales and marketing staff must connect emotionally with residents regarding the difficult transition period older adults face when moving from a longtime, single-family home into senior living.
“As an industry, we sometimes move past the fact that somebody is giving up their home of over 40 years and all the memories that come with that,” Villa Marin CEO Charlotte-Nicole Mashburn told me. “We don’t recognize that there is a loss happening when someone moves in.”
Mashburn has worked for various senior living operators, including Cogir Senior Living, Discovery Senior Living and Sagora Senior Living. She added that by connecting with older adults during this difficult transition period, providers can build rapport and trust while offering dignity.
But Villa Marin’s approach to ownership makes this successful. The organization caters to older adults’ desire to have ownership in where they live and provides a needed outlet for input on daily life at their community.
According to Mordor Intelligence’s 2025 senior housing market report, long leases and rental models make up roughly 81% of the current senior living market. This extends to continuing care retirement communities (CCRCs), a segment that often emphasizes financial commitment and security of future long-term care but generally does not offer ownership opportunities.
Why creating a ‘citizenship’ model could improve connections
Christian Living Communities (CLC) has embraced a “citizenship model” that empowers residents to create a sense of “meaning, autonomy, belonging and well-being,” according to CEO Jill Vitale-Aussem.
While the senior living industry often focuses on anticipating needs, Vitale-Aussem wrote in a December 2025 blog post that “a true sense of community also requires membership, influence and shared emotional connection.”
“Citizenship flips that script,” Vitale-Aussem wrote. “Instead of treating residents as passive recipients of services, we invite and expect contribution, co-creation and shared responsibility.”
Even without an equity ownership option for residents, these “citizenship” communities have reported 97% to 98% occupancy with waitlists, including through the Covid-19 pandemic, Vitale-Aussem notes.
To me, this shows that even offering residents a seat at the table to shape programming, wellness amenities and daily operations creates a more close-knit sense of community.
But purpose does not come from planning an events calendar. It stems from creating agency for older adults to feel a sense of belonging and togetherness with their fellow residents.
“Purpose is the number one thing that prevents dementia and cognitive impairment and physical decline,” Mashburn told me. “If someone doesn’t feel purposeful and they’re depressed, their health is going to decline.”
The cooperative model, the equity-share model and the resident-governed nonprofit all offer different options to create more purpose, meaning and belonging for older adults.
How new development could bring greater ownership
It’s no secret that new development remains difficult in the current moment, but new developments that plan for resident ownership could offer more alternatives for older adults.
Atlanta-based Thrive Senior Living recently announced a sprawling campus development near the Chattanooga, Tennessee market that will include more than 400 units ranging from 55+ single-family homes and independent living cottages to a traditional continuum with assisted living and memory care.
Thrive included 55+ homes with an ownership component because ownership gives older adults a “deeper, richer environment,” according to Thrive Chief Investment Officer Alan Moise. Thrive is partnering with RP Communities to build the single-family homes in the age-restricted portion of the community.
“The diversity in models will enrich the overall experience,” Moise told me. “They’ve chosen to downsize or make a lateral move into a campus and we can offer them assisted living and care services when those needs arise.”
Developers will not open the project until 2028, but I think it speaks to how operators should approach future development: They should include a component of ownership within their future plans.
Providers have long sold independence, lifestyle and purpose, and they can deliver on those promises for boomers now considering senior living. They should consider whether a lease is enough, or whether ownership and resident insight could become part of the industry’s value proposition.
