Senior Living Update: The segment is set for growth, but there are challenges to overcome – March 2025

By Jennifer Bardoner

By 2030, all Baby Boomers will be older than 65. Coupled with the rise in life expectancies, this will result in a surge in demand for senior housing of all acuity levels. Meanwhile, the definition of wellbeing is shifting to encompass holistic offerings and integrated approaches to health. As such, flooring products in these environments must be multifaceted and flexible, taking into account the various occupants, including staff, and balancing safety and cleanability with comfort and inspirational designs while providing cost-effective solutions.

ACTIVITY AND OUTLOOK
“We’re right at the fringe of probably one of the biggest surges we’ve ever seen in demand for senior living,” says Dave Bailey, Shaw Contract’s director of marketing for healthcare and senior living. “One report said that we’d have to build more senior communities at three and a half times the current rate just to keep occupancy rates at or under 90% and maintain that 10% occupancy buffer for the next ten years. And that would be twice as fast as this segment has ever grown.”

Sandi Soraci, director of healthcare and senior living segment strategy for Tarkett North America, adds that 45% of existing senior living communities are over 25 years old. “These communities need renovation, refresh and/or new construction to stay competitive,” she says.

Expectations are higher as Baby Boomers and their children, who grew up in times of prosperity, seek senior living options that offer a host of amenities and skilled care in home-like environments. And, lured by the suite of offerings these communities are adding to attract them, like state-of-the art fitness studios, cinemas and even bowling alleys and pubs, seniors are entering them at younger ages.

“The market is growing as Baby Boomers discover the advantages of moving into senior living facilities,” says Kendra Mahen, vice president of sales for HMTX Commercial. “In turn, more corporate senior living providers are establishing new facilities to serve them, ranging from independent and assisted living to memory care. Many properties encompass all three, assuring both residents and their families peace of mind in knowing their living needs will be provided through every phase of their senior lives.”

Bailey reports that all of the subsectors are growing at roughly 4% to 5% year over year, with independent living and memory care leading the way. Citing an October article from the National Investment Center for Seniors Housing & Care (NIC), Joe Martere, Mohawk Group’s senior director of strategy for senior living, notes, “Though the independent living occupancy rate still exceeds the assisted living occupancy rate (87.9% versus 85.1%), the gap between the two is narrowing, as assisted living occupancy gains outpaced those of independent living in the third quarter. We see a continued increase in demand for assisted living as compared to both independent and skilled nursing. Skilled nursing is the sub-segment where we see the greatest impact on growth due to rising costs as well as a significant shortage of ‘skilled workers.’”

High interest rates have stalled some projects. Martere says he recently talked with a customer who’s three years past their renovation cycle. Another froze all construction projects in June in the hopes that interest rates would come down. While affordability remains an issue, “The bottom line is they have to move,” says Martere. “The pent-up demand is incredible, and it’s just going to continue to grow. The population of adults older than 85 will double by 2036 and triple by 2049. The projects that have been tabled or postponed are going to come back online. There’s no more waiting. Time is of the essence.”

Whitney LeGate, senior vice president of commercial product for Mannington, says that while 2025 has been a slower start for the segment than hoped for, expectations are high for the back half. “But I think we’ve said that every year, haven’t we?” she laughs. “There’s still a good bit of activity out there; it’s just not crazy. It’s a very recession-proof sector because there’s such a need. I think new build will be good, particularly-hopefully-in 2026.”

Pointing to the Architecture Billings Index, she reports that every segment in the commercial market, which includes senior living, has seen more renovation than new builds over the past few years. “Building from the ground up, getting the capital, it’s expensive; money’s expensive right now,” she says. LeGate foresees continued renovation activity, including retrofits of existing buildings. “There’s a lot of commercial real estate available,” she notes. “For a lot of people, there are options besides building new, depending on the space you’re looking to create.”

Affordable housing options are a subset that is also expected to grow in demand and activity. With senior living communities operating with very tight margins and increasing costs for skilled workers to staff them, affordability is an issue that is having a trickle-down effect. Marie Moore, design director for Kinetex and LVT at J+J Flooring, says the financial pressure and economic uncertainty are causing many developers to build high-end projects for affluent residents to help them recoup their costs, creating a gap for lower-income families.

“In 2024, there were eight million American seniors in the ‘forgotten middle,’ a significant yet often overlooked demographic that falls between those who can afford high-end senior living and those who qualify for low-income options-and that number is projected to nearly double by 2033,” Soraci says, citing a recent report from Harvard’s Joint Center for Housing Studies that found affordable care and ADA-compliant housing are slipping further out of reach. “This isn’t just a housing crisis; it’s a call to action for all of us dedicated to serving seniors and the middle market.”

SHIFTING PRIORITIES
Soraci notes that there has been a shift from thinking of healthcare as “sick care” to thinking of it as “well care,” placing a greater focus on health and wellness within life plan communities and making it important to foster engagement, belonging, inclusion and a sense of purpose. Bailey says many designers are also trying to design spaces that more intentionally bring together residents and staff to enhance the sense of community.

“Today we’re seeing the need for products that help with both flexibility and adaptability, as spaces often need to be multifunctional, addressing different needs and a broad range of uses throughout the day,” says Chelsie St. James, Patcraft’s marketing director for A&D, workplace, retail, multifamily and senior living. “Flooring is often an integral part of this solution, defining space in natural and intuitive ways, while also offering a durable, high-performing product that will withstand the demands of a busy environment.”

Tarkett recently hosted a Senior Living Insights and Innovation Workshop, bringing together architecture and design partners and owner, operator and developer partners. “Our participants discussed the need to rethink design and operations in senior living, moving away from traditional models toward more flexible, innovative and inclusive designs that encourage mobility, social engagement and wellbeing,” Soraci reports.

The move toward inclusivity also encompasses new community models that integrate diverse populations and/or services. Naturally occurring retirement communities (NORCs) can exist in a single housing development or on a broader scale, mixing together people of different ages.

“Some newer senior living communities are striving to incorporate the larger community into their design-building communities inside communities-all with a goal to create communal spaces,” St. James explains. “These are active environments, designed for vibrant lifestyles that bring in local culture and experiences, incorporating programs that promote community engagement and connectivity.”

Jane Rohde, a tenured designer who specializes in senior living, says this model is being applied to university campuses, which have unused buildings since many students are now taking classes online. “We think the intergenerational approach is a way to address some of not only the care but also the housing issues we’ve seen,” she says.

Zoning laws and other regulations can be a challenge to such intergenerational models, but Rohde says they are starting to change in favor of more shared spaces that promote community. Similarly, she says, continuing care retirement communities (CCRCs), which cater to the full spectrum of senior living needs through the incorporation of various models and offerings, are also beginning to be more integrated into the overall community through zoning law changes that encourage mixed-use spaces.

Soraci says there’s been a rise in the number of CCRCs, driven by the increasing diversity in acuity levels and care needs within the senior population, as well as a desire to provide seamless transitions for residents as they age-thus minimizing disruptive moves-and foster a sense of community and familiarity for residents. She notes that the model also creates operational efficiencies and revenue diversification opportunities.

DESIGN NEEDS
“The growing trend of intergenerational communities requires evolving designs that incorporate enhanced aesthetics and a broader color palette,” says Laura Holzer, design director for carpet at J+J Flooring. “Because of this, interiors are increasingly tailored and hospitality-inspired, yet must retain a comfortable, home-like atmosphere.”

To help streamline the selection process, Mahen says HMTX is developing products “that can transition from the very traditional to a more contemporary style, helping our team work with designers and owners to develop a look that will appeal to multiple generations of residents and their families,” the latter of whom are often the decision makers.

“It is said the oldest daughter typically makes the decision about which community their parent chooses,” explains Denis Darragh, vice president of Forbo’s North American business. “They’re looking for clean and as much style as the family can afford.”

Martere notes the increased competition between communities, of which there may be a dozen or so in one town. This is funneling money into common areas, which he estimates account for 20% of the overall square footage, allowing for higher-end finishes that incorporate bolder designs. While some shift toward LVT is occurring, soft surface is still often favored in these types of settings due to its aesthetic impact, as well as the enhanced acoustics it provides.

“Community space is where people are willing to spend money,” he says. “When we do custom [broadloom] designs and they’re $40, $50, $60 per yard, we don’t get any pushback.”

To help communities stand out and invoke a sense of luxury, designers are seeking custom-looking designs, often turning to the kinds of large patterns and vibrant colors rooted in the hospitality segment.

“The challenge is that designers are looking for more running-line options with these characteristics, versus always having to go the custom route to achieve these looks,” Martere says. “When you say the word ‘custom’ to most designers, their natural reaction is, ‘I don’t have the time or budget. If you can’t give it to me off the shelf, I don’t want it.’”

Bailey notes that having enough running-line options to satisfy everyone is impossible, especially since each development reflects the surrounding community and the preferences of not only the designer but also the owner, oftentimes incorporating brand hallmarks. Most commercial flooring providers offer some sort of design studio service to help customers come up with something that feels personal and unique, though these types of products often carry minimums and price tags that can put them out of reach.

This customized approach is most prevalent with broadloom, which Martere believes accounts for 50% of the soft surface in such environments. In addition to being cheaper and easier to replace, Bailey notes that carpet tile’s aesthetics have come a long way.

“If we get one-on-one with any designer or customer and end user, we can usually reach a place where we’re able to meet their needs, but I think before we have that conversation, custom just feels complicated. It feels expensive,” Bailey says. “So, our challenge really is how can we make that process a little bit more intuitive and understandable for customers to approach us more often? And how can we present this beautiful line of running-line options, but also have a clear message that, ‘Hey, we’d love to create a product for you. And we could probably do it within your budget.’”

He tells of a client who was able to get a custom-looking design through minor tweaks to a running-line offering suggested by Shaw’s Custom Design Studio, which eliminated the minimums applied to custom products. Two of the styles in Patcraft’s new Forage carpet tile collection offer customizable colorways with the ability to choose from hundreds of yarn colors to modify the running-line thread or create a unique palette for personalized or branded project needs.

Bailey notes that the trend toward hospitality and the desire for custom-looking products extends to all types of senior living communities. “It’s not as simple as, ‘We have this homogeneous sheet that we use in operating rooms; let’s use this in your skilled nursing unit,’” he explains. “Designers are pushing us: ‘Well, what do you have that doesn’t look like a hospital floor and can still be heat welded and disinfected if we need it to?’”

While resilient product visuals are commonly wood looks, Rohde reports a growing desire for alternative designs. “It would be nice if they could do something that had a larger pattern that was tonal, a border pattern that was tonal and then smaller patterns,” she says.

Mahen reports requests for patterned floors, such as herringbone, that are available in gluedown formats.

Rohde says there is also interest in exploring options that merge hard surface qualities with softer textures. Smooth surfaces are easier to clean but can be too slick. But while textured surfaces provide more grip, they can present maintenance challenges. Bailey adds that achieving the same acoustical performance with hybrid products can be a challenge.

Darrah reports that Forbo’s hybrid Flotex product has seen success in the senior living market. The nylon 6,6 flocked face provides slip resistance and stands up to stains and soiling while softening acoustics. And, thanks to its cushioned vinyl backing, it is impervious to liquids and more comfortable underfoot-a benefit for the employees, who are on their feet all day and often taxed and stressed.

“Any operator will tell you that staffing is their biggest challenge,” he notes. “Maybe the industry should look more at comfort underfoot. Many staff members suffer from leg fatigue after being on a hard surface all day with residents.”

Gerflor USA managing director Jeff Krejsa says his company’s cushioned sports flooring is being integrated into senior living in activity areas, but he notes that it is not ideal where mobility issues and rolling loads are common.

PERFORMANCE NEEDS
“Current flooring products often fail to balance cost, durability and wellbeing considerations,” Soraci says, “including ease of cognitive ability, visual acuity, sound perception, ease of mobility, and evidence-based design principles critical to senior living environments in any socioeconomic group.”

Tarkett is investing in new product development for the senior living segment to address these needs. Mohawk Group partnered with 13&9 Design and professor Richard Taylor from the University of Oregon to create several collections, including a forthcoming LVT launch, based on fractals, which are patterns found in nature that have been shown to reduce blood pressure and stress. Patcraft has partnered with the Center for Health Design and recently collaborated to create the Impact of Aging Toolbox, aimed at helping facility designers and medical professionals understand and implement the best possible solutions to support the challenges and opportunities brought about by the growing senior population. 

For example, Soraci explains, as someone ages, their ability to see colors decreases. Dementia can also lead to various sensory challenges that affect visual perception. “As a manufacturer to our customers, we must understand what creates low vision and the physical and psychological impact in relation to human-centered design,” she says. “The built environment must be supportive for all occupants from a sensory and emotional perspective. For many seniors, impairments in hearing and vision can make day-to-day life challenging, and poor acoustic quality can further reduce comfort and physical ease. 

“Flooring can optimize the experience of residents and their family members by enhancing mobility and wayfinding for greater independence; featuring patterns and colorways that create a welcoming atmosphere; offering superior durability and appearance retention; improving acoustics to reduce impact noise; and providing minimal need for harsh chemicals while cleaning to support indoor air quality and mitigate respiratory distress,” Soraci continues.

Working with the Dementia Services Development Center, Gerflor recently updated its Taralay Impression collection of heterogeneous sheet vinyl with patterns and colorways formulated with senior living in mind, and several SKUs are accredited for use in memory care settings and for patients with dementia, Krejsa says.

“Differences in colors and the busyness of patterns can negatively or positively impact somebody,” he explains. In addition to ensuring the colors and patterns are not jarring but aid in defining spaces and wayfinding, the designers focused on also making sure the visuals can work in tandem with the other elements in a room, like the laminates used on furniture and other components, he adds.

Resilient flooring products are seeing a boost in use following the pandemic thanks to their cleanability, though Martere notes that they are still more “behind the door” than in common areas, where first impressions and acoustics are key.

“The pandemic certainly impacted decisions in finishes in all aspects of senior living,” Mahen says. “More specs are switching carpet for a resilient product that is easy to clean and affords better mobility.”

While the transition has been gradual, and Bailey expects it to settle at some point, Krejsa believes the focus on cleanability will remain an important factor in flooring selections.

“There’s really two components to it,” he says. “One is the overall health and wellness of the individuals within those environments. But the other component of it is marketing, because the cost of staying at those facilities, in a lot of cases, is very disruptive to people, and being able to come into an environment that looks clean, that feels safe, I think it’s hugely important for people making that decision.”

Rohde notes that there is often incongruity between flooring manufacturers’ maintenance guidelines and the common practices in such environments. Bleach and bleach wipes are often used but can degrade surfaces over time. Understanding the real-world scenarios in which their products are used-in addition to the Centers for Disease Control standards that must be adhered to-could be beneficial in designing surface treatments and wearlayers, she says, noting that ultraviolet cleaning (UVC) has become more popular since the pandemic.

Additionally, personal training of the environmental services staff could help align expectations with reality, especially since such maintenance staff are often undertrained. Mannington Commercial is devoting new resources to product care education this year, reports LeGate. “It’s part of our strategic plan to continue to offer more support on the front end to customers on how to properly care for their floor so that it holds up for as long as they want it to,” she says. “Because everybody’s strapped, and it’s a challenge to keep environmental services staff consistent.”

Copyright 2025 Floor Focus 

Related Topics:Tarkett, Mohawk Industries, RD Weis, Shaw Industries Group, Inc., HMTX, Mannington Mills