Arcadia Discusses Conceptual Plans With Sewanee Community
Arcadia at Sewanee, an independent 501(c)(3) corporation with a thirteen-member board of directors, held an informational session at the St. Mark’s Community Center on May 14, followed by presentations the following week to the Community Council and to the Sewanee Business Alliance. Community members were updated on Arcadia’s early-stage progress toward its objective of establishing a continuing care retirement community (CCRC) in Sewanee. The presentation, which includes Arcadia’s history and current developments, a conceptual spatial plan of the site, high-level projections, and a summary of next steps, can be viewed here.
The contemplated development would be located east of the Sewanee Village on 12.5 acres of vacant land between Alabama Avenue and Kennerly Road, immediately north of the proposed University apartment complex. A recently completed market research study performed by PMD Advisory Services, a nationally recognized research firm, indicated that demand supports a Sewanee-based CCRC of up to 173 independent living units. Arcadia’s contemplated retirement community would contain 32 villas/townhomes, 88 independent living apartments of varying sizes, ten assisted living units, and eight memory care units for a total of 138 units.
High-level projections indicate a project cost, in 2029 dollars, of approximately $97 million. To cover the cost, Arcadia would have to raise $20 million in donated equity and borrow the balance of $77 million, of which $46 million would be paid back from initial entrance fee payments. The balance of $31 million, more than likely long-term bonds, would be payable from the ongoing operations of the retirement community. Construction would begin in 2029, with stabilized occupancy achieved in 2031.
Questions and feedback from community members mostly centered on the rationale for the location of the proposed community, the need for a traffic study and pedestrian accessibility (sidewalks), geotechnical and water studies, the impact of increased lighting, and affordability of the units. Despite the site’s topographical challenges, Arcadia board members explained that studies indicate that proximity and access to the Sewanee Village and to the central campus are key criteria to its success; and that much has been accomplished over the past few months, but far more remains to be done before firm plans can be made and announced. Providing affordable housing is a Board priority that will require additional financial donations.
The University has indicated its support for Arcadia to proceed, raising up to $1.5 million (of the total $20 million) to cover continued due diligence (which includes necessary studies), architectural schematics and designs, regulatory approvals, etc. Arcadia’s board is committed to maintaining close communication with the University’s administration, and it will keep the Sewanee community abreast of developments.
