Harrison Street and Aegis Living Form Joint Venture Starting With Three Washington and California Communities
Harrison Street Asset Management and Aegis Living announced a strategic joint venture partnership on Nov. 5 to invest in and develop assisted living and memory care communities, beginning with a portfolio of three Aegis communities in Newcastle, Wash.; Moraga, Calif.; and Seattle. Berkadia Seniors Housing & Healthcare advised Aegis Living on the transaction.
Aegis Living, a family-operated assisted living and memory care company founded in 1997, and Harrison Street, a global alternative investment management firm, said the venture combines Aegis' care and operations with Harrison Street's senior housing investment experience and network of operating partners. The companies said they intend to build on the initial investment through additional acquisitions and development opportunities.
Initial Portfolio: Aegis Gardens, Aegis Living Moraga and Aegis Living Madison
The partnership begins with an investment in three communities:
- Aegis Gardens at 13056 SE 76th St. in Newcastle, Wash.
- Aegis Living Moraga at 950 Country Club Drive in Moraga, Calif.
- Aegis Living Madison at 2200 E. Madison St. in Seattle, which the company also lists as Aegis on Madison. The community has 96 beds across studio, one-bedroom, two-bedroom and shared-room configurations.
Aegis Living will continue to manage all three communities, the companies said. The same care teams, community leaders and care plans remain in place. According to the announcement, Harrison Street's investment will allow Aegis to commit more resources to its people, communities and innovations aimed at helping residents live longer, healthier lives.
Harrison Street's Senior Housing Strategy
Harrison Street launched its real estate strategy to invest in senior housing and other alternative sectors in 2005. The firm said it has since invested $16 billion across 46,000 senior housing units and is the largest private owner of senior housing assets in the United States. Harrison Street manages more than $110 billion in assets across infrastructure, real estate and credit strategies and is headquartered in Chicago, Toronto and London, with more than 600 employees.
"We are excited to welcome Aegis Living to our network of high-quality senior housing operating partners," said Rob Korslin, Co-Head of North American Transactions at Harrison Street. "Aegis has built an exceptional reputation through its hospitality-focused operating model, notable communities, and commitment to residential care. We believe access to leading operators like Aegis is a key differentiator for Harrison Street's senior housing strategy, and we look forward to building a lasting relationship, beginning first with these three communities and expanding into additional investment and development opportunities over time."
Michael Gordon, Global Chief Investment Officer – Real Estate at Harrison Street, said: "Our approach to senior housing has always centered on partnering with leading operators that share our commitment to quality, innovation, and residential care. Aegis Living embodies these qualities. We believe this partnership combines the complementary strengths of our two organizations and creates a strong foundation for growing our relationship in the years ahead."
Aegis Living's Operating Model and Leadership Comments
Based in Bellevue, Wash., Aegis Living operates 37 communities across Washington, California and Nevada. Each community offers a continuum of care that includes assisted living, transitional care, memory care in Aegis' Life's Neighborhood, respite stays and hospice support in residents' own apartments, the company said.
Dirk Burghartz, President of Aegis Living, said: "Families trust us with the people they love most. That was the first thing we spoke to Harrison Street about and stayed at the forefront throughout our discussions. We took the time to get to know our new partners. We discovered a team who respects our culture and our people. That is the reason why we believe this joint venture will be successful. For the families in Newcastle, Moraga, and Madison, the faces they know, and the care they rely on remain exactly the same. What does change is what's behind that care: decades of experience, strong relationships, and more resources to continue to make it better."
Dwayne J. Clark, Founder, Chairman and CEO of Aegis Living, said: "I've spent my career on one question, really: how do we help people live longer and live better? Technology is part of the answer. It will never replace the value of a nurturing caregiver who knows your mother's name and how she takes her coffee. The right innovation gives caregivers better information and more time, so they can get there earlier. Harrison Street can enable us to move much faster on that work, and we're very excited about what we're going to build together."
Aegis said it uses AUGi by Inspiren, an opt-in, privacy-first AI system that alerts caregivers in real time when a resident may be at risk of falling. Inspiren says Aegis communities using its system have seen a 22% lower fall rate and a 34% longer length of stay. The company said families do not need to take action, and questions can go to each community's general manager.
Berkadia Seniors Housing & Healthcare advised Aegis Living on the transaction, with a team led by David Fasano.
Senior Housing Market Context
The venture comes as senior housing fundamentals have strengthened. Occupancy across NIC MAP's 31 primary markets reached 89.5% in the first quarter of 2026, the highest level since before the pandemic, and rose to 89.9% in the second quarter. Development has been limited by elevated construction costs, restrictive construction lending and lengthy entitlement processes.
Harrison Street executives have cited annual demand of roughly 50,000 senior housing units against 16,000 to 17,000 units being delivered each year. Industry analysts expect rent growth above 5% over the next 36 months, while Harrison Street's 2026 underwriting range is approximately 3% to 6%. Average senior housing cap rates were approximately 6.2% in the fourth quarter of 2025, and 85% of surveyed investors expected further compression.
Outlook
For Harrison Street, the partnership adds an operator to its senior housing network across the Seattle area and the San Francisco Bay Area. For Aegis Living, it provides a capital partner for the three initial communities and potential future acquisitions and development. The companies said they plan to pursue additional opportunities together.
Sources
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