CONVERTING TO MEET THE NEED MAY 2015

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1 CONVERTING TO MEET THE NEED MAY 2015

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4 SNF AL IL 3 rd Floor - AL

5 The Need Independent Living Occupancy Decline % to 90% % to 85% % to 77% 2014 slight increase Assisted Living Need Increase (formerly the Inn) % to 100% with waitlist % to 100% with waitlist % to 100% with waitlist % to 100% with waitlist In need of secured Memory Care Unit 6 residents left campus due to lack of memory care vacancy The Gardens convert the existing Inn to secured unit (the Gardens) convert independent living wing to assisted living (the Inn) lighter acuity smaller rooms enclosed courtyard new finishes / operational adjustments only

6 The Scope The Inn (unlicensed Assisted Living) Convert third floor of the east wing from Independent Living to catered living Infill atrium floor for new dining / living spa Infill floor at exterior window and develop protective railing Convert corner atrium unit to spa, office, country kitchen and barrier free toilet room Split three units into six units, revised / add mechanical and electrical, nurse call Refresh balance of units (cabinets, finishes) Some reworking of interior doors for lift access / barrier free Add lockable drawer to each unit (medicine drawer) Revise / replace lighting in corridor Update finishes in common spaces Revise unit lighting outside of bathroom, in closet area Protect existing balcony Elevator Lobby Enclosure (serving Independent Living and Assisted Living) Enclose area (in parking garage) between resident hallway and elevator Renovation of existing electrical and mechanical as required Revise sloping floors to comply with ADA / Barrier Free standards New finishes

7 The Need Independent Living Occupancy Decline % to 90% % to 85% % to 77% 2014 slight increase Assisted Living Need Increase (formerly the Inn) % to 100% with waitlist % to 100% with waitlist % to 100% with waitlist % to 100% with waitlist In need of secured Memory Care Unit 6 residents left campus due to lack of memory care vacancy The Gardens convert the existing Inn to secured unit (the Gardens) convert independent living wing to assisted living (the Inn) lighter acuity smaller rooms enclosed courtyard new finishes / operational adjustments only

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15 The Move The new Inn 7 Residents stayed in place at secured memory care unit (now the Gardens) 15 Residents moved from the Inn (now the Gardens) to the new Inn 2 Independent Living Residents moved to the new Inn 5 New Residents at the Inn Third Floor, no through traffic (separated) Apartment sized units (now longer just studio units) New Serving Kitchen, Spa, Office, Dining, Living Areas, secure Balcony Originally 18 IL apartments 20 units total

16 Construction Residents: Unit below Kitchen, Spa, Mechanical Areas vacated 11 Independent Living residents moved to another IL wing (between two floors) Residents moved into similar units with new finishes Regular resident meetings with contractor / architect Published construction schedules Elevator lock out (entire third floor of wing off limits) Build resident excitement Viewing stations in Atrium (while under construction) Minimal shutdown of any service Low noise until 9:30am

17 After Before Resident Bathrooms

18 Before Resident Kitchenette After

19 Resident Rooms

20 Atrium / Hub Before 3 story atrium Before Fluorescent Light Dome After Dining and Common Space

21 Atrium / Hub

22 Serving Kitchen

23 Atrium / Hub

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25 Elevator Lobby

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27 Assisted Living Licensure Home for the Aged (HFA) Adult Foster Care Large Group (AFC - L) Unlicensed Assisted Living rules HFA Licensing Rules HFA Public Health Code HFA Tech. Assistance Handbook Michigan Building Codes Licensing for AFC Large Group AFC Technical Assistance Michigan Building Codes Michigan Building Codes corridor minimum 6'-0" minimum (5'-10.1/2" & 5'-5.1/4" existing) CANNOT MEET no requirement no requirement (Michigan Building Code minimums) (Michigan Building Code min.) (same as Independent Living) ventilation our design meets our design exceeds + toilet room require forced air ventilation Michigan Mechanical Code min. (same as Independent Living) laundry likely need to contract this service adequate provisions no requirement (same as Independent Living) kitchen likely need to contract this service (or set up separate corp. for kitchen at Lodge I) + janitor's closet required provide meals - no reference to where prepared no requirement generator required with minimum run time no requirement no requirement

28 Assisted Living Licensure rules lighting corridor minimum Home for the Aged (HFA) Adult Foster Care Large Group (AFC - L) + 20 HFA FC -Licensing hallways, Rules general sufficient Licensing for for reading AFC Large and Group other resident HFA Public room, Health janitor Code closet resident AFC Technical activities Assistance HFA + 30 Tech. FC - Assistance reading area, Handbook bed, Michigan Building Codes hand Michigan wash, Building toilet, shower, Codes staff, laundry, day room 6'-0" minimum FC (5'-10.1/2" - kitchen & 5'-5.1/4" existing) + 50 FC CANNOT - Charting, MEET med + lens on light in janitor closet Unlicensed Assisted Living typical Michigan National Building Electrical Codes Code no requirement no requirement (Michigan Building Code minimums) (Michigan Building Code min.) (same as Independent Living) common area sqft (renovations) ventilation our design meets our design exceeds + toilet room require forced air ventilation common area sqft (new construction) 15 SF / bed (exceeded) 35 SF per OCCUPANT no requirement Michigan Mechanical Code min. (same as Independent Living) 30 SF / bed (exceeded) 35 SF per OCCUPANT no requirement laundry likely need to contract this service adequate provisions no requirement (same as Independent Living) resident room size 80 SF minimum 80 SF minimum no requirement kitchen likely need to contract this service provide meals - no reference to (or set up separate corp. for kitchen where prepared janitor closet at 1 Lodge required I) per floor + janitor's closet required Michigan Mechanical Code min. no requirement Michigan Mechanical Code min. (same as Independent Living) code - use group must be reviewed / constructed R-2 is still acceptable generator required with minimum run time no requirement no requirement as an I-2 facility dining A home shall have dining space that can accommodate all residents of the home at the same time.'

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