INVESTING WELL WHILE DOING GOOD: How Our Aging Population Needs Our Help!

Your investments can serve a purpose larger than your personal financial goals. They can grant value to society, the economy, and the people who consume the goods and services your investments make possible. We’re not talking about philanthropy, though that’s important, too. We’re talking about investments with potential to serve both your interests and the interests of others.

You’ve probably already heard about ESG[i]. By selecting investments in organizations devoted to Environmental, Social, and Corporate governance standards, your investing can serve many interests. You probably also know about Socially Responsible Investing (SRI), which concerns selecting investments based on security issuers’ practices related to social and environmental concerns. Perhaps you already practice investing devoted to these standards. 

These headline-grabbing standards – ESG and SRI – are important, but we believe investors can also serve the financial interests, health needs, and social well-being of individuals in our local neighborhoods.  We think this is particularly true of Direct Participation Real Estate (DPRE) investments devoted to senior living communities. What is more socially responsible than caring for our aging family members?  

Today’s senior living communities are not the institutional facilities – the retirement homes and old folks’ homes your grandparents hoped they’d never set foot in. Those old facilities bring to mind images of ceramic tile floors, voices that echo through hallways, crowded dining rooms, and spartan furnishings and decor. Rather, today’s senior living communities offer warm, comfortable surroundings. 

We develop, construct, and operate senior living communities. These properties promote accessibility and provide a broad range of service levels from 55+ independent living to assisted living to more intense services like memory care. People want to live in communities that promote dignity and quality of life; these priorities dominate the planning and execution of our senior living properties. 

Our senior living communities serve our senior population well. They also provide employment to skilled people in our communities. They employ local citizens and businesses involved in the complicated work from project conception to day-to-day operations. 

It doesn’t require too much investment research to grasp supply and demand factors lending insight into the investment potential of DPRE in senior living communities. Please see our study titled Evidence-Based Investing: Trends with Benefits to examine economic and demographic data and trends and the sources on which the study was based.[ii] Here’s the short story from Evidence-Based Investing: 

  • Demographers project the 65+ population will represent nearly 22% of Minnesota’s population into the second half of this century.
  • Local economic data suggest the greatest investment potential could lie in projects located in high-growth counties surrounding the Twin Cities, an area ranked first in the nation by Marcus & Millichap for its favorable multifamily real estate investment opportunity.
  • The Department of Housing and Urban Development and Marcus & Millichap agree on the high demand and low supply of multifamily housing in our area.
  • Rising healthcare costs burden seniors.
  • Their need to escape isolation and gain convenient access to healthcare intensifies demand for senior communities, in our opinion.
  • Seniors and aging Millennials have been relocating to suburban counties, and we believe the trend will continue. 

Some people consider the senior housing crunch a crisis. Construction has not kept up with demand. Mark Miller wrote a compelling Reuters article about the housing threat to seniors based on demographic and economic trends.[iii] A theme in the article argued if we are to care for our aging relatives and neighbors, we must be attentive to their needs and accommodate their preferences. Accredited investors can participate in delivering quality care with DPRE investments in senior living communities. 


To learn more, visit or call (612) 424-8650.


[i] ESG stands for Environmental, Social, and (corporate) Governance. An informative introduction appears in Kell, G. (2018, July 18). The remarkable rise of ESG. Forbes. Retrieved from 


[iii] Miller, M. (2018 November 29). Future U.S. seniors to face housing crunch as wealth declines. Reuters. Retrieved from 




The opinions, news, research, analyses, prices, or other information contained in this article are provided as general market commentary and do not constitute investment advice. Financial Fortitude and its affiliates are not liable for any loss or damage which may arise directly or indirectly from use of or reliance on such information. Financial Fortitude has taken reasonable measures to ensure the accuracy of the information.

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