Townsend Meadows is the operational name for Forest Non-Profit Seniors Housing Corporation. It is managed by an elected Board of Directors who are resident life lease owners. All resident unit owners are members of the Corporation. Life lease housing developments have become an increasingly popular option for the expanding seniors population.
Life Lease Development
The owner of a Life Lease has the exclusive right to occupy their unit and to use the common facilities of the development for as long as they desire or are able. To purchase their lease, a new owner signs a “Life Lease Occupancy Agreement”. Once an owner takes possession of their unit, they pay a monthly occupancy fee which represents the owner’s share of the common costs including common utilities, interior and exterior maintenance of the clubhouse, exterior maintenance of the unit buildings, all buildings insurance, maintenance of your unit’s heating, cooling and hot water systems and the lawn and front landscaping maintenance.
When the owner (or their Power of Attorney acting on their behalf), or their estate Executor, wishes to sell or transfer their lease, they set a selling price according to the market value of their unit. The negotiation of the purchase price occurs between the current owner, their Power of Attorney or estate Executor and the prospective buyer.
Life Lease developments may look like condominium projects, with similar unit sizes, features and monthly fees; however, there is only one owner registered on the title to the property. In our case, Townsend Meadows owns and manages the overall development to ensure that the life lease owners’ interests are maintained. With no motivation of profit, Townsend Meadows can concentrate on high quality management and long-term maintenance.
Life Lease can be compared to condominium ownership in terms of investment return, security of tenure, and resident participation in the management of the development. However, Life Lease developments have the added benefit of greater control over the demographic composition of resident owners. In our case, we are a 55+ years community. Our Board organizational structure allows resident owners to have input into the management and operation of our Townsend Meadows community.
Benefits of a Life Lease Community
- Opportunity for capital investment and security of tenure. The life lease may transfer to the resident's estate.
- All exterior maintenance costs are the responsibility of the non-profit corporation as is the maintenance of the heating, cooling and hot water systems. They are paid for with a Monthly Occupancy Fee.
- With no intent to generate a profit, the Monthly Occupancy Fees are set at the lowest possible break-even price as determined annually by the elected Board.
- The economies of scale of operating a multi-residential development allow residents to enjoy savings in heating and cooling of their individual units.
- Life Lease developments create a sense of community and well being.
- Units can be modified to suit personal tastes and needs, such as, flooring, light fixtures, countertops, and enhanced accessibility features. Any structural changes do require Board approval.
Monthly Occupancy or Common Area Fees Covers Costs Such As:
- Maintenance of streetlights, streets, drainage and pumping station systems
- Snow removal from streets, visitor parking areas, driveways and front walks
- Lawn and front landscape maintenance
- Management and administrative costs
- Maintenance of heating, cooling and hot water systems, smoke/carbon monoxide alarms
- Maintenance of the clubhouse
- Insurance on the buildings
- Development of reserve fund for future replacement of capital items
Costs Paid Directly by Residents
- Unit property taxes
- Individually metered hydro, gas and water/sewer charges
- Telephone, Internet and cable or satellite television services
- Contents insurance on unit upgrades, furnishings and personal belongings and for personal liability insurance
Standard Unit Features
- Spacious open concept living and dining areas
- User-friendly kitchen with island
- Laundry/storage room and linen closet
- Two bedrooms with generous bathroom(s)
- Energy efficient in-floor hydronic heating
- Individual air conditioning units
- On demand hot water boiler
- Individual meters for hydro, gas and water/sewer consumption
- Electrical service with copper wiring and circuit breaker panel
- Individual smoke/carbon monoxide detectors hardwired to electrical panel with battery backup