Maplewood Founder On Track

To Open More Than A Dozen Facilities

By John Voket

Calling his latest accomplishment “a development that has been in the making since 2008,” Gregory Smith, founder of several assisted living centers and state-of-the-art dementia care units, announced a strategic partnership earlier this month with a Chicago-based investment group that will help proliferate his Maplewood brand across southern New England and into the metropolitan New York market.

Maplewood Communities, which has quickly built a respected reputation for providing assisted living services in Fairfield County, joined with Aviv REIT, Inc, to develop and operate Maplewood facilities and possibly other centers based on its patient-focused philosophy. The first Aviv REIT installment of $60 million represents investments in four existing communities, with three more communities in the pipeline in short order, Mr Smith told The Newtown Bee in an interview May 19.

This new relationship solidifies AVIV’s move to expand the company’s footprint in the senior housing sector.

“We are excited and honored to have a relationship with a premier real estate company like Aviv that will facilitate our opening more safe and welcoming communities for our senior citizens in the Connecticut, New York, and New Jersey markets,” said Mr Smith, who also serves on the board of the Alzheimer’s Association of Connecticut.

“With Aviv, we want to continue to grow our company into a dominant regional operator and provide the regional community with cutting-edge services and superior quality of care for our residents and their families,” Mr Smith continued.

The relationship with the two companies began with the purchase of 22 Hospital Avenue in Danbury, which was owned by a predecessor entity of Aviv REIT and which was redeveloped by Mr Smith as Maplewood at Danbury.

“I think being a regional player is as far as we want to go at this point in time, just because we know it takes an incredible amount of time and energy to manage effectively,” Mr Smith said. “We are committed to building a platform of technology and talent to provide top-level care. We’ve got a unique opportunity to make a difference in an industry that’s kind of gone flat, and make a difference in the lives we touch every day.”

Last December, the venture acquired two properties, the former Laurel Estates assisted living community located in Orange, Conn., now operating as Maplewood at Orange, and 73 Strawberry Hill Avenue in East Norwalk, the soon-to-be renovated Maplewood at Strawberry Hill.

The venture aims to transform that now-vacant nursing home into an 84-unit community that will provide memory care in 47 of the units and traditional assisted living in the remaining 37 units. Renovations have already begun and are set to be completed by June 2012.

“The key to a venture like this is finding the right operator,” said Craig M. Bernfield, chairman, chief executive officer and president of Aviv. “Not only do you want a company that knows the business, but you also want one that truly cares about its residents. Maplewood Communities has time and again demonstrated these qualities.”

Maplewood Communities already manages Maplewood at Danbury and Maplewood at Newtown. Each community provides specialized care for those residents with a combination of assisted living, early onset dementia, and Alzheimer’s programs.

Mr Smith said while it may seem that a lot of the activities tied to these developments have happened relatively quickly, “they have been in the works for a two- to three-year period of time.”

He said there are two or three prospective properties in Westchester County, as well as eyes on at least a pair of imminent development deals targeted in Manhattan.

“This is basically a hybrid form of ownership that allows us to invest in our operating platform as well as investing and developing real estate assets,” he said. “When we closed with Aviv May 2, the Newtown property was rolled up in our partnership. This helped us with capital to invest in quality care, as well as looking at development and ground-up opportunities.”

Mr Smith said patients and families should only notice enhancements driven by acquiring “some of the best talent in the industry, delivering the best, unparalleled care. We just hired one of the best dementia specialists in Connecticut to create environments and programs, and giving that individual the freedom to think outside the box in creating an experience for our residents that’s second to none. It may sound cliché, but we now have the resources to live our philosophy of making a positive difference in every resident’s life.”

Aviv is among the largest owners of skilled nursing facilities in the US, with a portfolio comprising 185 properties and approximately 18,000 licensed beds as of December 31, 2010. These facilities are triple-net leased to a diverse group of 32 high-quality local, regional, and national operators across 24 states.

For more information about Aviv, visit www.avivam.com. To learn more about Maplewood, visit maplewoodcommunities.com.