Summary
In this episode, Jerry Vinci discusses the recent tariffs imposed by the Trump administration and their potential impacts on the senior living industry. At the time of publishing this episode of Breaking Ground, President Trump had announced a 90-day pause on implementation of “most” tariffs. Jerry explores how these tariffs could affect construction costs, operational expenses, and ultimately the affordability of care for residents. He emphasizes the need for strategic planning and proactive measures to navigate these challenges effectively.
Takeaways
- President Trump’s tariffs are impacting multiple sectors, including senior living.
- The tariffs include a 10% baseline on all imports and higher rates for specific countries.
- Copper and critical minerals are vital for senior living infrastructure.
- Tariffs on lumber could significantly increase construction costs.
- Pharmaceutical tariffs may affect older adults on fixed incomes.
- Semiconductors are crucial for medical devices and tech in senior living.
- Rising costs may lead to deferred renovations and scaled-down projects.
- Communities may pass increased costs onto residents, affecting affordability.
- Investor confidence in senior living may waver due to rising costs.
- Operators need to engage in financial planning and advocacy to mitigate impacts.
