REAL ESTATE NEWS

California’s adult population is expected to double by 2040, reaching nearly 9 million, creating demand in many markets, including Riverside County’s Coachella Valley, Palm Springs and Long Beach.

Seniors already account for over 17% of the Coachella Valley population — and that figure is rising faster than the state average, according to Joy Silver, chief strategy officer at the Community Housing Opportunities Corp. (CHOC), an affordable housing developer in the state.

“The aging boom is creating significant demand for age-appropriate housing that is affordable, accessible, and well-connected to public services,” she said.

“The vast majority of older adults — including those on fixed incomes — are seeking modest homes or apartments that offer independence, proximity to family, and access to healthcare and transit."

Development trends serving those seniors include transit-oriented development, proximity to public services and healthcare, mixed-use models (combining residential senior living with pharmacies, senior centers, medical offices, etc.), walkability and access to amenities, as well as climate-responsive and resilient design.

“California’s senior population is growing at a historic pace — and nowhere is that demographic shift more visible than in the Coachella Valley,” Silver told GlobeSt.com.

“Once known primarily as a retirement oasis for affluent snowbirds, the region is now facing a new kind of challenge: how to meet the housing and service needs of a rapidly aging, increasingly diverse population.”

Palm Springs’ Cost of Living Hinders Seniors

In Palm Springs, 34% of the population is over the age of 62. However, there is one problem: Palm Springs has a higher cost of living than the national average, particularly regarding housing. Rent in Palm Springs can range from $1,240 to $2,338, significantly higher than in many other areas in the country. Expenses such as groceries, utilities and transportation also surpass the national average.

If a senior's income is below 60% of AMI, they might struggle to afford housing and other necessities.

Some 12.4% of its residents earn less than 30% of the surrounding area income (compared to 24.2% in the Southern California Association of Governments region) and 27% earn less than 50% of the surrounding area income (versus 30.9% in the SCAG region).

In Palm Springs, the most prevalent condition among seniors aged 65 and older is an ambulatory disability, affecting 20.2% of the group there and 22.9% of seniors in the SCAG region.

In partnership with the City of Palm Springs, Silver said CHOC aims to serve low-income seniors with incomes ranging from 0% to 80% of the area median income (AMI) and help alleviate this significant disability.

Seniors Community Coming to Long Beach

In Long Beach, Sunrise Living announced it has secured $80.07 million in tax-exempt bond financing for a premium-level senior living community through JLL and HJ Sims, bringing 86 luxury assisted living and memory care apartments in a high-barrier infill location by the first quarter of 2027.

Financing for this community at 3340 North Los Coyotes Diagonal comes through California Public Finance Authority Senior Living Revenue Bonds, Series 2025A.

The two-story property spans 78,227 square feet with 62 assisted living and 24 memory care apartments across 102 licensed beds.

It sits in an affluent residential area near the Long Beach-Orange County border, with convenient access to the I-605 and I-405 freeways.

“California continues to be an ideal market for senior living communities given its large and growing population of older adults who want to stay close to their families and support networks,” Jay Wagner, senior managing director and co-head of JLL Capital Markets' seniors housing group, told GlobeSt.com.

“Long Beach offers a vibrant, neighborhood-oriented environment where seniors can thrive in a residential setting that feels connected to the community. With strong performance across our existing California portfolio, Sunrise is well-positioned to meet this demand and deliver a high-quality community that blends into the neighborhood."

Source: GlobeSt/ALM