To compete for residents and staff, companies large and small need deep connections to the local area. Local experience in a market has become increasingly important to success. Operators that have strong connections to their markets have a better chance of attracting and keeping residents.
Senior living is a local operating business. It typically draws the majority of its customer base from a five-mile radius. Often the relationships operators have is critical to creating and maintaining a pipeline of residents. This has become especially true as developers are competing with each other to attract residents and talented staff as they open thousands of new properties across the country. This is a very competitive business and because of competition, occupancy rates are at their lowest in seven years. In the fourth quarter of 2018, average occupancy rates for assisted living was 85.4 %across the top 31 markets according to data from the NIC.
But operators with deep roots in the areas around the properties often beat these averages. At Innovation Senior Management, we successfully navigate the competitive landscape by attending to our residents and their families needs. We are also able to attract great talent because of our strong local reputation and relationships with people who can refer people to our properties. Innovation Senior Management is a Florida-focused operator with deep and strong relationship across the state.