031714-WS Attachment CITY OF RICHFIELD, MINNESOTA
Office of City Manager
March 13, 2014
Council Memorandum No. 31 HRA Memorandum No. 14
The Honorable Mayor Housing and Redevelopment
and Authority Commissioners
Members of the City Council City of Richfield
Subject: Senior Housing Demand Analysis
(Worksession Agenda Item No. 1)
Council Members:
During the past several years, developers have continued to express an interest in
building senior housing developments in Richfield. At the same time, however, there
has been a degree of skepticism on the part of many policy makers in the community
regarding the need and/or desire for additional senior housing in the community.
Two studies have been conducted in recent years that alluded to senior housing needs.
The Urban Land Institute Minnesota Regional Council of Mayor's "Opportunity City
Program" analysis of Richfield (completed in 2009) made two statements related to
senior housing, first, that "the City can anticipate a rapid increase in seniors over the
next 5-10 years," and then asked the question, "to retain social fabric through senior
retention, will there be new opportunities for downsizing to one level and higher density
senior housing?" The 2012 "Rental Housing Inventory and Needs Analysis" (conducted
by Stantec, Inc.) identified four major gaps in the rental housing market; one of which
was "senior housing of all types."
In an effort to provide more detailed information on whether or not there is a need for
senior housing, staff asked Maxfield Research to conduct a Senior Housing Demand
Assessment. Maxfield's assessment concludes that, considering only the needs of
Richfield residents, there is currently an overabundance of both owner-occupied
independent living units and congregate care units. There is unmet demand, however,
for rental independent living units, assisted living units and memory care units (see
attached Summary Table). With regards to memory care, there are currently no such
units located in Richfield. While the Assessment concludes that there is a substantial
unmet demand for affordable senior housing, it also cautions that developing affordable
senior housing is extremely challenging due to high costs and limited funding sources.
The Richfield Housing Visioning Task Force has received the Senior Housing Needs
Assessment and has held one discussion on the findings, with a follow-up discussion
scheduled for April.
A combined Work Session of the City Council, Housing and Redevelopment Authority
(HRA) and Planning Commission is scheduled for 6:00 p.m. on Monday March 17 to
hear a presentation on the Assessment from Mary Bujold of Maxfield, Inc. and to
discuss the Assessment.
I
Following the Task Force meeting and the Work Session, staff will recommend next
steps on the Assessment based on the discussion occurring at those meetings.
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Attachments
Email: Department Directors
Assistant City Manager
Planning Commission
Senior Housing Demand Assessment
Summary Table
Excess Demand
RichfieldMarket Area
Service Level2013201820132018
Mkt. Rate Adult/Few Services (Ownership)-34346466
Mkt. Rate Adult/Few Services (Rental)90113167168
Mkt. Rate Congregate-107-806971
Mkt. Rate Assisted Living193222224252
Mkt. Rate Memory Care132140167206
Subtotal - Market Rate Senior Housing274429691763
Low-Income Adult/Few Services40146not analyzed
Moderate-Income Adult/Few Services4955not analyzed
Affordable Assisted Living117131not analyzed
Affordable Memory Care91102not analyzed
Skilled Nursing Beds143151not analyzed
Subtotal - Affordable Senior Housing440585
Grand Total9881443