MW This is the biggest threat to senior housing - and a huge opportunity for Netflix, Apple and Peloton

By Joseph Coughlin

Consumer expectations, technology adoption and market competition are shifting as aging adults get more tech-savvy and demand connectivity with family and friends

For investors, senior-housing operators and developers, the industry feels it is on the verge of a gold rush. By 2030 every baby boomer will be over 65, and by 2040 the number of Americans over 80 will have nearly doubled.

But what looks like solid ground is shifting.

Think of tectonic plates. When they move, we think of earthquakes, but those same movements also create fresh landscapes that redefine the horizon. Senior housing today is on tectonic ground. The plates of consumer expectations, technology adoption, cultural change and market competition are shifting.

This is not a catastrophe. This is an opportunity. The question for investors is not whether there are more older consumers. The question is whether the industry will offer something people desire, or whether they will remain at home.

The true competitor to senior housing is not the other senior-housing community down the road. It is the home itself. And not just the home where many boomers are taking an aging-in-place approach. There are now abundant and amenity-rich housing options not just to downsize, but which offer upsized living experiences. Multifamily-home developers, such as Avalon $(AVB)$, are bundling gyms, pickleball courts, co-working lounges and branded experiences that look more like they are made to order for millennial lifestyles rather than for older buyers.

Senior housing must stop thinking of itself as merely a service provider that can do it all and instead become something larger: a branded platform that curates experiences, partnerships and technologies into an aspirational offering.

The homes that boomers live in today are steadily becoming smarter. Even older suburban homes equipped with Alexa (AMZN), Nest $(GOOGL)$, Ring and other high-tech devices invite branded services inside through Instacart, Peloton $(PTON)$, HelloFresh and telehealth platforms. The home is evolving into its own curated service hub, making aging in place more attractive and a far stronger competitor to senior housing.

To thrive, senior housing must stop thinking of itself as merely a service provider that can do it all and instead become something larger: a branded platform that curates experiences, partnerships and technologies into an aspirational offering that consumers actively seek out.

Five tectonic shifts in the senior-housing market

The shifting ground beneath the industry is visible and can be described as five fault lines. Each of these is not a crack to fear, but an opportunity to shape a new landscape.

One shift is from demographic dependency to desire. Yes, millions more older adults are coming, but age alone will not fill communities. Consumers will not move in because they have reached a birthday milestone; they will move if the community sparks aspiration. Hotels once sold only rooms; then brands like W Hotels $(MAR)$ turned them into lifestyle statements. Senior housing must make a similar move, from a place you end up, to a place you want to be.

The second shift is the expectation of curation. Senior housing leaders will blend health, social, cultural and wellness experiences into a coherent whole, but not on their own. Airlines used to compete only on routes and fares. In its early days, JetBlue $(JBLU)$ redefined the experience. In addition to low prices it curated well-known regional chefs for onboard menus, focused on customer service, was generous with snacks, and offered a friendly vibe and no baggage fees (at least for a while). It stopped being just an air carrier and became a lifestyle platform.

Third, technology is shifting from amenity to infrastructure. Many communities still treat Wi-Fi or tablets as optional extras. According to AARP, more than 60% of older consumers use smart devices to manage security, utilities, appliances and lighting. They expect seamless telehealth, wearable integration, VR-enabled socialization and transparent digital portals for families, allowing you to check in with family members and follow up on care. Technology is the new plumbing - invisible but indispensable. Operators who partner with trusted brands and services, such as Best Buy $(BBY)$, will make technology both a market differentiator.

Fourth, the decision-making process is also changing. The resident is no longer the only customer. Adult children, especially millennial daughters, are now co-buyers and, for some, financiers. They bring expectations shaped by consumer experiences like SoulCycle, Peloton (PTON) and Starbucks $(SBUX)$. They demand personalization, cultural fluency and transparency. Winning them is not a nice-to-have; it is a necessity.

Finally, consumers are becoming more diverse. By 2050, 40% of older adults will be Latino, Asian or multiracial. The menus, staff and even architecture of yesterday will not resonate with tomorrow's market. Communities must be culturally fluent, offering multilingual staff, inclusive rituals and dining that reflects varied traditions. The operators who position themselves as cultural curators will capture market share and margin.

Boomers, the very consumers now entering retirement-housing markets, have lived lives curated by brands, institutions and culture at every stage. Their childhood was shaped by Saturday-morning cartoons and Happy Meals $(MCD)$. Their adolescence came with MTV $(PSKY)$ and mall culture. Their adult years were defined by Starbucks (SBUX) lattes, Apple $(AAPL)$ products, Disney $(DIS)$ vacations, boutique gyms and Whole Foods salad bars.

Curation has always been part of their identity. Why should this life stage be different? This is the one they have worked a lifetime to curate.

Senior housing must move from place to platform

Senior housing is not being fractured by these demographic and cultural shifts. It is being given a chance to redefine itself as a curated platform.

Imagine a community where healthcare is delivered in a Mayo-branded telehealth suite. Where morning coffee comes from a Starbucks Reserve café in the lobby. Where fitness is powered by Peloton bikes and Equinox-trained wellness coaches. Where cultural programming streams live from Lincoln Center, facilitated by staff not just trained by luxury icons like Ritz-Carlton (MAR), but by other companies known for delivering exceptional customer-centered experience, such as Chick-fil-A or Southwest Airlines $(LUV)$. Where dinner menus highlight Trader Joe's favorites, followed by Ben & Jerry's ice cream $(UL)$ pop-ups in the courtyard. Where tech support comes not from one harried staff member but from an Apple-certified concierge who makes connectivity effortless.

Every brand mentioned already exists, already has consumer trust and already shapes expectations in other industries. For investors, curation transforms senior housing from a commodity business competing on square footage into a differentiated platform commanding both market share and margin.

Unlocking the vast middle market

Curation is not about moving upmarket. Many senior-housing operators already succeed at the luxury end. The hidden jewel, and the nearly endless market, lies in the middle. More than half of boomers turning 65 in the next decade are in the middle market. They are not looking for wine cellars or chauffeur services. But they are not strangers to curation. They shop at Target (TGT). They subscribe to Netflix $(NFLX)$. They expect recognizable brands, accessible experiences and environments that feel aspirational without being extravagant. The curated future is not a luxury play. It is the middle-market unlock.

Consider, too, how consumers are already signaling what they want. The Wall Street Journal recently profiled a surge of adult sleep-away camps offering experiences where people in their 20s through 60s kayak, sing camp songs and make friends. Sponsors like Dunkin', Amazon Prime and LaCroix have rushed in to be part of the movement. People of all ages are willing to pay for curated environments where connection and experience are made easy.

For investors, the implications are clear. The active adult housing market is already booming, fueled by developers who understand the power of amenities and branding. If senior housing continues to depend on demographic trends, the promise of care and the delivery of its own brand of fun, it will face lower margins, older and sicker residents, and greater cost pressures. But if it embraces curation, it can attract younger, healthier residents who stay longer, pay more and have families that become advocates.

Tectonic plates don't stop moving. They shift, collide and create new landscapes. Senior housing is on such ground today. The movement is not an impending catastrophe. It is an opportunity. The curated future is here. The only question is who will claim it.

-Joseph Coughlin

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September 12, 2025 12:11 ET (16:11 GMT)

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