In this strong seniors housing acquisition market, when does it make sense to build a brand new community or buy an “A” quality community? Based on seniors housing construction projects since 2013 (which includes independent, assisted living and memory care, or some combination of the three), the average cost to build a new project is approximately $209,000 per unit. New construction, of course, comes with certain benefits. You will have a brand-new community with all the bells and whistles that can help attract attention. But you then have to fill it up, staff it and deal with the increasingly potential risk of a competitor opening up down the street. And to buy a stabilized, “A” level assisted living property, you would pay $244,800 per unit (a $35,800 premium), or $277,900 per unit (a $68,900 premium) for “A” level independent living properties. It makes sense that the premium paid to avoid the risks of building, opening and stabilizing an independent living community is higher than that for an assisted living community because of the fact that IL is less needs-based and takes longer to fill-up.