Smaller Senior Living Operators Lean on Relationships as New Growth Remains Tough

In 2024, senior living operators face challenges in lending and development while seeking growth. Smaller companies struggle to buy portfolios or embark on extensive strategies due to limited funds and lack of track record. Clearwater Living, with 11 communities, emphasizes building relationships with lenders and partners for future flexibility. Capital remains a major hurdle for small operators, who must educate new partners and navigate changing debt markets. Despite difficulties, operators like Adava Care and Paradigm Senior Living are finding success by focusing on regional growth and establishing strong relationships with funding sources. As the industry evolves, smaller operators have opportunities to shine by responding quickly to operational challenges and making strategic acquisitions. Through slow and steady growth and a regional focus, companies like Clearwater and OneLife Senior Living are positioning themselves for success in a changing landscape.