KARMEL

CJE DETERMINES NOT TO MOVE FORWARD WITH DEVELOPMENT OF KARMEL COMMUNITY IN DEERFIELD

CHICAGO, June 20, 2011—CJE SeniorLife announced today that it will not go forward with the development of its Continuing Care Residential Community, Karmel, and is closing its marketing office. The marketing for the proposed Karmel project began in April 2009.  

After market research that began in 2005, Karmel was conceived by a team of senior living experts as a unique residential community for older adults on the North Shore. Almost 100 households have made deposits during the past two years to reserve their spot in the community, but Karmel depositors and prospective depositors have seen sharp declines in the equity in their homes.  Thus Karmel’s sales have been increasingly impacted by the sluggish recovery from the recession and the continuing decline in housing prices.

All depositors have been notified of the project’s termination and will receive their full deposits with accrued interest by the end of June. CJE also will provide support from its Geriatric Care Management Team and Center for Healthy Living to review depositors’ needs, options, and next steps, as well as to provide social and educational opportunities.

In order to obtain financing to break ground, Karmel required a 10% financial commitment from 150 households. Before the recent decline in sales, ground breaking had been slated to begin in 2011 with construction taking up to two years.  With depositors increasingly anxious to see Karmel become a reality, the sponsors of Karmel were faced with the extremely difficult decision to stop the project rather than indefinitely delay its implementation.

“We are extremely saddened that our vision for Karmel will not come to fruition. We know there is a need for Karmel in the Chicago area, however, we have a responsibility to our depositors and the larger community,” said CJE SeniorLife President and CEO Mark D. Weiner.  “Many of them cannot wait for an extended and uncertain period of time to move to Karmel.  And right now, we just cannot predict when we can start building. So we would rather stop the project now and offer to meet their needs with CJE’s comprehensive network of services which have served the Jewish and larger community since 1971.  

“Over the past few years, we have built strong and lasting relationships with Karmel’s depositors and we thank them for their commitment and for being true pioneers.  Karmel is an example of a great idea coming to the marketplace at an unfortunate time.”

Karmel was to have been built adjacent to the existing Weinberg Community for Senior Living, which continues to be an outstanding, state-licensed assisted living community.  

For more information contact Mark D. Weiner, President and CEO of CJE SeniorLife, at (773) 508-1009.

 To learn more about CJE SeniorLife please visit us at www.cje.net