50+ Housing e-Source - 08/17/2007 (Plain Text Version)

Robert Tippets, CGB, CAASH
50+ Housing Council Chairman

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In this issue:
Coming Attractions in 50+ Housing
Fall Board: Design Forum Dinner and More!
50+ Resources at Sunbelt Builders Show
Cohousing Workshop in Denver
Welcome New 50+ Housing Council Members!
'Casa y Comunidad' Earns National Publishing Award
Bring a Speaker to Your Next HBA Event

Coming Attractions in 50+ Housing

The marketplace will continue to grow in the next several years despite the “soft launching” now occurring in many markets.

Why? Homeowners 55 and over have been able to accumulate more wealth for the past five years than ever before. Their costs of living have gone in a different direction. Rather than raising a family, paying for college and paying off the mortgage, their discretionary income is now geared towards travel, vacation, a second home, and using their wealth for themselves. Eventually, this includes buying a home that provides them with a maintenance-free, active lifestyle.

For a number of reasons, people 55 and over will continue to work. Today, 30 to 50 percent of this 55-74 demographic is working, whether it be from home, on the road, or in an office.

Although they’re still working, they have more leisure time for themselves, with many couples and singles engaging in “lifestyle planning” as well as financial planning.

Baby boomers are recognizing that a fulfilling life requires more leisure time and space for personal growth. Enter the second home, vacation cottage, or pied a terre resort condominium that will become their future active lifestyle home.

Fewer active lifestyle communities are building 45-90 minutes out into the suburbs and exurbs. More 55+ buyers are looking for an amenitized lifestyle community with maintenance-free living.

Today and tomorrow, we will see smaller communities closer in that take advantage of public and private amenities and facilities to offer a way of life without the costs of long-distance travel. These future communities will be from 200-500 units with a variety of housing types, from single-family attached and detached, townhomes and multi-stories, as well as high-rise.

Master planned communities will begin to include “niche neighborhoods” to offer a broader base of product and attract more 55+ households.

The neighborhoods will be designed for the market segment that wants to be close to a diversified household audience and not be in a 100 percent age-qualified development. In addition, this will attract those who don’t want to move far away from their children and grandchildren.

From a marketing standpoint, the language of age-qualified communities will change and start to use softer phrases, words and language that boomers understand and can identify with. Here is a sample of how the terminology that builders and developers use is changing.

Old terminology

New terminology

Age Restricted/Age Qualified

Arts & Crafts

Clubhouse

Exercise/Wellness Center

Homes

Library

Lounge

Movie theatre

Recreation

Restaurants

Sports Bar

Welcome Get-Togethers

Age-Preferred

Learning Center/Artist's Room

Residents' Club/Members' Lodge/Community Center

Gymnasium/Fitness/Spa

Residences

Reading Room

Residents' Lounge/Entertainment Lounge

Screening Room

Amenities

Internet Cafe/Fine Dining/Garden Cafe

Sports Lounge

Resident Parties/Gatherings

Forget the terms “active adult,” and “55 and better.” Your current and future buyers and residents want lifestyle living that gives them a “lock and leave” approach to their new residences.

A community should boast “no more lawn mowing, shoveling snow or worrying about home repairs.” Slogans should include phrases like “live in a maintenance-free community—no hassles, no worry.”

Lifestyle Activity Directors will make your communities come alive with a full schedule of events, trips, and programs.

The Lifestyle Director should be available as part of the marketing effort, not when the clubhouse opens but on early, pre-sale traffic, weekends, and all the times you progress to install your amenities. Make sure that your sales counselors introduce this person at the time they have a qualified prospect. Many times he or she can help close the sale by painting a picture of what’s in store.

With over 40 years’ experience marketing active adult lifestyle communities, William E. Becker, managing director and president of The William E. Becker Organization, has taught and written extensively on this subject. He has been presented with many awards for his accomplishments and is a popular speaker at industry conferences. Becker is a charter member and past president of the Institute of Residential Marketing and has been named a Legend of the Industry by NAHB’s Sales and Marketing Council. Becker also is actively involved in the NAHB 50+Housing Council. He can be reached at 201-833-2610 or webatweb@aol.com.