By Natalie Kostelni – Reporter,
Philadelphia Business Journal
May 2, 2019, 2:28pm EDT
Chelsea
Senior Living is closing a facility it owns in Jenkintown and plans to sell the
property at 440 Old York Road.
The
company will close the facility by June 30, according to a Worker Adjustment
and Retaining Act Notice, or WARN, Chelsea filed with the Pennsylvania
Department of Labor. It currently has 50 employees.
Built
by Sunrise Senior Living in 1989, the 39,422-square-foot complex with 62 units
was bought by Chelsea in 2010 as part of an effort to venture into a new
market. The Fanwood, N.J., company owns and operates 16 senior living
properties between New York and New Jersey. “We thought it would be a jumping point
to expand into Pennsylvania,” said Roger Bernier, president and COO of
Chelsea.
The
company invested $500,000 in renovations and made other improvements but the
occupancy hovered around 80 percent, prompting Chelsea to make a business
decision to move on from it, Bernier said. “It’s a very saturated market,” he
said.
There
are 37,178 senior housing units in the Philadelphia market and 90 percent of
those units are occupied, according to a 2017 report by the National Investment
Center for Seniors Housing & Care.
Chelsea
is helping residents find other facilities and will staff the building until
everyone is moved out, Bernier said. Once the relocations are completed, the
building will be sold either at auction or put up for sale. In talking to other
operators, Chelsea determined that there would be potential interest by
perspective assisted living companies to renovate the entire building for a new
but related use such as a facility that catered just to Alzheimer patients.
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