Welltower and Kisco Senior Living Announce Formation of Exclusive Long-Term Strategic Partnership
Welltower Inc. (NYSE: WELL) and Kisco Senior Living (“Kisco”) today announced the formation of a long-term strategic partnership, building on the two companies’ success from prior joint ventures. The exclusive partnership, which brings together Kisco’s next generation senior housing and care model with Welltower’s unparalleled data analytics platform, has broken ground this year on two premium seniors housing communities: The Carnegie at Washingtonian Center and Phase Two of The Cardinal at North Hills, both of which are located in super prime US micro markets. Welltower and Kisco’s first project, The Cardinal, is one of the most successful senior living communities in the US, having maintained occupancy in excess of 95% over the past five years and returning to 100% occupancy in September 2021.
“We are excited to formally announce this long-term strategic partnership alongside the ground-breaking of The Carnegie and Phase Two of The Cardinal, which exemplify Welltower and Kisco’s focus on developing premier communities with first class amenities and care in an inspirational environment,” said Shankh Mitra, Welltower’s CEO and CIO.
The Carnegie, located in the heart of Gaithersburg, Maryland will feature up to seven stories of 302 independent living, assisted living and memory care residences and will offer residents state-of-the-art amenities including multiple indoor and al fresco dining venues, an indoor heated salt-water pool, leading-edge fitness center and spa along with access to on site health care. The Carnegie will also provide residents with unique lifestyle programing provided by Kisco, inspiring a health and wellness focused approach to living while enabling residents to age in place and improving overall quality of life. The community will be developed and operated by Kisco under an aligned RIDEA 3.0 management agreement.
Phase Two of The Cardinal is an 18 story tower with 191 residences, positioned as a luxury senior living community which is scheduled to welcome residents in the Spring of 2023. This tower phase of The Cardinal features five custom penthouse apartments on the top floor and the third floor is designated as a club level with concierge services and access to an expansive outdoor courtyard area. Phase Two has already benefited from a significant number of non-refundable deposits, expanding on the success of Phase One. The total investment amount of the two projects will exceed $325 million.
“The Carnegie and Cardinal will be signature communities,” said Andy Kohlberg, President and CEO of Kisco Senior Living. “Kisco follows the simple philosophy of putting our residents first. We’re excited to bring a unique lifestyle experience founded on our principles that promote the health and wellbeing of residents. Welltower’s cutting edge data analytics platform, combined with Kisco’s focus on the resident experience will create a powerful platform to expand our existing partnership and improve the health and wellness of our residents.”
Welltower and Kisco’s existing portfolio has already surpassed pre-COVID occupancy levels, reaching 97% in September. Kisco’s development and operations teams continue to work closely with Welltower’s data analytics and investment teams as the recently announced long-term exclusive development partnership seeks to expand this unique product and service offering across additional super prime micro markets across the US in A++ locations. Mitra added, “Kisco is a best-in-class operator and an important Welltower partner. We look forward to growing our relationship through this strategic partnership over the next decade with Andy and his team.”