The senior housing industry as a whole was largely able to weather the storm of the last recession without much negative impact. However, a certain segment, the continuing care retirement community sector (CCRCs), was particularly hard hit. George Mesires, who leads FaegreBD's Chicago finance and restructuring team, authored an article on how CCRCs that had struggled to stay afloat during the recession have learned to better navigate challenges that come with an economic downturn. In his article for American Bankruptcy Institute Journal, Mesires explained that the CCRC market leading up to the recession in 2008 mirrored the booming housing market at the time, and the bust that came after was equally detrimental.
Mesires was hopeful in his article that senior housing communities have learned from the boom and bust years in the housing market, and that practitioners and senior housing professionals will rely on this knowledge to weather future economic downturns.
Reprinted with permission from the ABI Journal, Vol. XXXIII, No. 3, March 2014.