# Presentation: 458993

## PARK PLACE

**PARK PLACE**

**Park Place**
**6900 37****th**** Avenue South**
**Seattle, WA  98118**

** ****Seattle Housing Authority **
** ****Retirement Housing Foundation**

**- 154 Units -**

_**Partners**_**:**

## BACKGROUND

**BACKGROUND**

**PARK PLACE**

**SEATTLE, WA**

**  ****Large elderly population in NewHolly **
**  ****Elder Village includes Section 202 & independent living **
**  ****Options allow residents to transition to assisted living**
**  ****Community Program Entry System (COPES) gives Medicaid reimbursement to ALFs**
**  ****SHA, a Moving To Work (MTW) authority, was able to project-base units**

## DESIGN / STAFFING

**DESIGN / STAFFING**

_**Design**_**:**
** **Units range from 347 to 578 square feet
-  Feature small refrigerator, sink and microwave
-  Allowed to bring pets
-  15,000 Square Feet of Common Area (dining, deli, computer space and beauty parlor)

| 154 Units |  |
| --- | --- |
| 0  BR | 57 |
| 1  BR | 96 |
| 2  BR |  1 |

**ADMINISTRATOR**

**PARK PLACE**

**SEATTLE, WA**

## PROCESS

** ****SHA procured outside market feasibility consultant**
** ****ALF requirements prompted SHA to procure developer **
** ****RHF, a California non-profit, faith-based organization selected as developer**

**PARK PLACE**

**SEATTLE, WA**

## PROCESS (Continued)

| USES |  |
| --- | --- |
| Hard Costs | 73% |
| Soft Costs | 16% |
| Land | 11% |

| FUNDING SOURCES |  |  |
| --- | --- | --- |
| HUD Insured Mortgage  | $15,865,000 | 91% |
| Residual Receipts Note  | $1,250,000 | 7% |
| Equity | $379,306 | 2% |
| Total: | $17,314,306 |  |

** ****SHA project-based the subsidized units**
** ****RHF added 54 private pay units**
** ****Elder Village components share common area costs **
** ****SHA used its authority to issue tax exempt bonds**
** ****SHA accepted a residual receipts note**

**PARK PLACE**

**SEATTLE, WA**

**$112,400**
** ****per unit**

## MANAGEMENT / MARKETING

**MANAGEMENT / MARKETING**

_**Management**_**:**
** ****RHF owns and manages Park Place**
** ****Licensing process delayed six-months**
** ****RHF paid staff and serviced debt prior to lease-up**

_**Marketing**_**:**
** ****Perception that ALFs are similar to nursing homes**
** ****Area perceived to be unsafe or undesirable**

**PARK PLACE**

**SEATTLE, WA**

## RESIDENT SERVICES

** ****ALF residents assisted with bathing, dressing, grooming and medications**
_**Services available**_**:**
** ****Three meals a day in a community dining room**
** ****Weekly housekeeping and laundry assistance**
** ****Emergency call system and 24-hour staff assistance**
** ****Recreational activities and fitness center**
** ****Beauty/barber shop, library, game room, deli, gift shop, wellness center**
** ****Local transportation to medical appointments and shopping**

**PARK PLACE**

**SEATTLE, WA**

## CHALLENGES/FAILURES/LESSONS LEARNED

** ****A recent and reliable market study is crucial**
** ****Licensing delays increase lease-up time & cost**
** ****A facility must be operational prior to licensing**
** ****Allow for move-outs due to death or the need for a higher level of care**
** ****Marketing is a long-term process**
** ****Partner with experienced and well-financed ALF developer**

**PARK PLACE**

**SEATTLE, WA**

## ACCOMPLISHMENTS/SUCCESSES/HIGHLIGHTS

** ****COPES Medicaid reimbursement: $1,830-$2,293 per resident/per month**
** ****SHA contributes $512 per resident/per month under Section 8 program**
** ****Subsidized residents contribute monthly Social Security checks, less $58**
** ****A total of 54 units are set-aside for private pay residents**
** ****Market rate and subsidized units “float” and are indistinguishable**

**PARK PLACE**

**SEATTLE, WA**

## SUMMATION

** **Predicting market demand for ALF product is difficult
-  State Medicaid financing & licensing requirements vary
-  Licensing delays are likely
-  A mixture of market & assisted units increases feasibility
-  Ability of PHA to project-base units enhances feasibility
-  Partner with experienced, well capitalized ALF developer
_**Recommendations**_**:**
** **Allow Medicaid reimbursements to agencies that offer ADL services in traditional congregate elderly housing
-  Facilitate the dual funding of ALFs through HUD operating subsidy or project-based Section 8 vouchers in combination with Medicaid reimbursement contracts

**PARK PLACE**

**SEATTLE, WA**