UARCs University Affiliated Retirement Communities
University Affiliated Retirement Communities, or UARCs, are typically Life Plan communities for older, active adults who are attracted by the opportunity of enjoying stress-free living, life-long learning, and intergenerational opportunities.
What is a Life Plan Community?
University Affiliated Retirement Communities are typically Life Plan Communities, frequently referred to as Continuing Care Retirement Communities (CCRC). Life Plan Communities are for adults ages 65 and over, offer a variety of housing options like villas, apartments, and townhomes, are amenity-rich, and offer onsite healthcare that may include assisted living, memory care, rehabilitation, and skilled nursing. Residents move in to a Life Plan community to enjoy worry-free living without the hassle of home ownership. In addition, residents gain reassurance knowing that, should their physical or mental health change, they have the care they need conveniently located within their community.
Contract Types
Life plan communities typically offer three contract types: entrance fee, rental, or a hybrid version of these two options. The contract types are designed to help residents enjoy an active lifestyle while planning for their future.
Entrance Fee
• Residents pay an upfront fee for the right to occupy an independent living residence
• Entrance fees generally reflect average home prices in the area
• An additional monthly fee covers meal plans, access to amenities, utilities, etc. – structure used by most not-for-profit communities
Rental
• Residents pay a monthly fee covering housing, meal plan, access to amenities
• Rental amount is usually higher than a monthly fee in Entrance Fee structure
Types of Living
Residents typically move into a community in their late 60s or early 70s seeking an active, burden-free lifestyle. Typically, at this stage, residents elect to live in townhomes, villas, and apartment homes within the Independent Living areas of the community. As their healthcare and mental health change, residents may then transition into Assisted Living, Memory Care, or Skilled Nursing, or even elect for in-home care.
• Independent Living: For active residents that need no assistance with daily activities
• Assisted Living: For those needing help with some activities of daily living
• Memory Care: Focused care for individuals some form of dementia
• Skilled Nursing Care: For those needing full-time medical care or rehabilitative care after hospital stays
• In- Home Care: Part- or full-time care provided in a resident’s independent living residence
What is a UARC?
University Affiliated Retirement Communities, or UARC’s, are typically Life Plan communities that are affiliated with a college or university. These affiliations can range from tangential with very little interaction to communities that are deeply integrated with the school. Typically, a UARC that is deeply integrated with a university or college is also sponsored by that college with the school maintaining control over the intergenerational programming. However, there are also UARCs that are developed and owned by a third-party, like a for-profit developer, which tend to be less integrated with the college nor are they typically located within the college grounds.
Benefits for the Residents & Students
Residents gravitate towards UARCs because the idea of lifelong learning, intergenerational interaction with students and faculty, and participation in on-campus activities are appealing. Students benefit from the student employment, internships, and health care collaborations with the Life Plan community.
Intergenerational Living and Learning
• Hospitality-like setting
• Multiple dining venues – main dining, pubs, coffee shops, casual, grab and go
• Wellness Centers – indoor pool, fitness center, group fitness, spa
• Resident areas for arts, meetings, education, spiritual wellbeing, film, games, etc.
• Outdoor recreation and gathering areas
• Preventative and routine medical care and therapy services
• Transportation services
Benefits for the College or University
There are financial benefits to considering a UARC. Additional revenue for the university can be generated by:
• Income from leases and other sources to fund scholarships and academic positions
• Increased attendance at on-campus events,
• Estate planning (charitable trusts, bequests, etc.)
Other Benefits for the School:
• Ownership structure allows for the senior community to be a separate entity from the University, i.e., the assets, liabilities and financial operations of the community are not included on the university’s financial statements.
• The entity that owns the community is set up by the university and, like the school, is a 501(c)(3) not for profit organization.
• The 501(c)(3) sponsor entity can access the public tax-exempt bond market for construction and permanent financing, usually with little to no long-term equity remaining in the project.
