Market study instills urgency to start expansion of Oak Hills
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NEW ULM-- According to a market rate study conducted in 2019 and 2020, Oak Hills Living Center will need to restructure its assisted living to accommodate a growing aging population in the area.
Oak Hills Fund Development Director Wendy Lang said Oak Hills currently has 94 skilled nursing units -- 22 dedicated to short-term rehab; 16 private pay assisted living and16 Housing and Urban Development (HUD) units for a total of 126 units, but more will be needed.
Since January, Oak Hills has been raising funds to make a facility expansion possible.
Money raised by the new capital campaign would pay for 30 new units; 15 will be enhanced assisted living and the other 15 units are memory care.
The enhanced assisted living units are hybrids of assisted living and skilled nursing care. Individuals in the enhanced assisted living facilities will be able to maintain the same level of independence, but extra assistance if needed.
The assisted living spaces are especially valued because these types of living facilities are the least expensive option for residential care compared to home care or nursing home care.
Oak Hills is licensed for skilled nursing and assisted living. The two services are on the same campus. Assisted living is apartment-style living for seniors who need assistance with one or more activities of daily living. Some activities of living include bathing, dressing, cooking or medication management.
Lang confirmed that assisted living is on average half the cost of a private room in a nursing home. In Minnesota assisted living is an average of $4,000 a month. In-home care is an average of $5,529 a month and the private nursing home room is an average of $8,517.
The cost of Oak Hill's expansions is $2.6 million. Lang said currently the capital campaign has raised a little more than $1 million.
Lang said this much was generated in a little over six months. She is fairly confident Oak Hills will raise the remainder of the funds over the next 14 to 15 months.
Oak Hills recently received a $50,000 forgivable loan from the New Ulm Economic Development Authority and the New Ulm Area Foundation gave the project $15,000 during the living center's annual ice cream social.
Groundbreaking on Oak Hill's expansion is expected to start Thursday, July 14.