Laserfiche WebLink
Mr. Eric Zweber <br />WSB & Associates, Inc. <br />December 19, 2017 <br />Page 61 <br />Senior Housing: Long-term the senior housing outlook is very promising given the aging <br />of the population and future demographic shifts. Orono and the Lake Minnetonka area <br />has an older demographic with significant growth in the 65+ population. However, <br />there are several service -based senior housing communities located within five miles of <br />Navarre that would compete with a new development in Navarre. At that same time, <br />there may be an opportunity for active -adult products such as an age -restricted rental, <br />for -sale 55+ condominium, or senior cooperative. However, the Navarre area can likely <br />support one active adult product in the short-term. Suburban senior housing projects <br />are averaging about 25 units or more per acre across the Metro Area. <br />Rental Housing: Navarre and Orono have few rental properties; the City of Orono has <br />an 85% home ownership rate and the majority of rentals are located in single-family <br />housing stock. The Twin Cities is experiencing a major rental housing building boom as <br />rental housing has been a preferred asset class over the past seven years, however the <br />majority of new construction has been located in locations closer to the core. The Na- <br />varre area may be able to support one rental housing development; however, because <br />of development costs a new rental concept would have high rents targeting lifestyle <br />renters. Many of these renters could be from the 55+ demographic who want to down- <br />size from their single-family home. Rental housing could be developed in a stand-alone <br />building or as part of a mixed-use development with first -level commercial space. <br />New suburban rental properties in the Metro Area vary considerably between the inner - <br />ring communities and the outer -ring communities. Densities closer to the core are aver- <br />aging over 50 units per acre; whereas densities in the third -tiers and beyond are averag- <br />ing 25 to 40 units per acre. Combined with properties in the two core cities; the average <br />density for new apartments in the entire Metro Area is 74 units per acre for all new de- <br />velopment in 2017. <br />MAXFIELD RESEARCH AND CONSULTING, LLC <br />