Vermilion Development receives approvals for affordable assisted living facilities in Indiana
- Identified the most promising markets for a developer of affordable residential care (assisted living) facilities under a new program in Indiana
- Met requirements of the Indiana Housing and Community Development Authority (IHCDA)
- Secured approvals, tax credits, and bond financing for 10 facilities across the state
Requirement
Kretchmer Associates was hired by Vermilion Development to identify locations for Indiana’s Medicaid Waiver assisted living program. Vermilion then retained us to prepare market studies for all of its applications to IHCDA for tax credits and tax-exempt bond financing.
Approach
We analyzed the demographics of the senior population by age and income, focusing on the number of low-income seniors in need of affordable assisted living. We ranked these by county and ZIP code to prioritize opportunities for the developer.
Once areas were selected, Kretchmer Associates prepared comprehensive market studies meeting all of the requirements of IHCDA for tax credits and bond financing. We analyzed the competition, unit mix and sizes, amenities and services, demand, market penetration, and absorption – and made recommendations for right-sizing the projects.
Results
Vermilion received approvals for its projects from the municipalities, received tax credits and bond financing from IHCDA and opened several of these buildings. Some are under construction and some will start construction soon.
“Without a doubt, the success we have experienced in developing our affordable assisted living platform is in no small measure attributable to Kretchmer Associates. Their market analysis on a state-wide level guided us to certain markets, while their insights into particular sites helped define our success. We are working to develop our tenth Silver Birch Living community in the State of Indiana. Valerie and her team are directly linked to that progress.” ~ Darrin Jolas, Vermilion Development
