Atria Senior Quarters Announces Acquisition, New Management Appointments.

LOUISVILLE, Ky--(BW HealthWire)--Nov. 17, 1998--Atria Senior Quarters, Inc., one of the country's leading providers of assisted and independent living services for the elderly, today announced the acquisition of The Arbor Company, a full-service senior housing development, management and marketing services company with 13 properties in five states. The Arbor Company's portfolio of managed properties includes:

Florida

-- The Barrington, a 149-apartment congregate living facility in Largo; -- Barrington Terrace, a 66-apartment assisted living facility in

Pinellas County; and -- Arbor Oaks, a 78-apartment assisted living facility in St.

Petersburg.

Georgia

-- Arbor Terrace of Decatur, a 66-apartment assisted living community

in Dekalb County; -- Arbor Terrace of Athens, a 56-apartment assisted living community

in Athens; -- Dogwood Forest of Alpharetta, a 39-apartment assisted living

community in Alpharetta; -- Dogwood Forest of Eagles Landing, a 53-apartment assisted living

community in Fulton County scheduled to open in January 1999; -- Dogwood Forest of Gainesville, a 53-apartment assisted living

community in Fulton County scheduled to open in February 1999; -- Arbor Terrace of Cascade, a 59-apartment assisted living community

in Fulton County scheduled to open in the third quarter of 1999;

and -- Dogwood Forest of Fayetteville, a 61-apartment assisted living

community in Fayette County scheduled to open in the third quarter

of 1999.

Tennessee

-- Arbor Terrace of Knoxville, an 86-apartment assisted living

community in Knoxville.

South Carolina 

-- Arbor Terrace of Columbia, a 56-apartment assisted living community

in Columbia.

North Carolina 

-- Arbor Terrace of Asheville, a 63-unit assisted living project under

construction in Asheville with a scheduled opening date of early

January 1999.

"This acquisition strategically enhances our presence in the southeastern U.S., particularly in the Atlanta area," said Pat Mulloy, Atria Senior Quarters president and chief executive officer. "As the result of its affiliation with the highly-regarded Wesley Woods Center of Emory University, The Arbor Company brings to Atria Senior Quarters a reputation for quality unmatched in the Southeast."

Under terms of the agreement, principals of The Arbor Company have joined Atria Senior Quarters in leadership capacities. M.E. Costello, president of The Arbor Company, will serve as an executive vice president of operations. Costello will oversee Atria Senior Quarters properties located in the southeastern U.S. Ellison Thomas, vice president of The Arbor Company, will serve as a divisional vice president with Atria Senior Quarters, working with Costello in the southeastern group.

In his new role with Atria Senior Quarters, Costello will join two other executive vice presidents on the Company's senior operations leadership team. Evan Kaplan, president and chief operating officer of Kapson Senior Quarters, will serve as executive vice president of operations responsible for all properties in the northern U.S. and along the eastern coastline. Gary Smith, formerly vice president of operations with Atria Communities, will assume the role of executive vice president with oversight responsibility for the Company's properties located in the western U.S. Also working with this senior team will be Wayne Kaplan, general counsel of Kapson Senior Quarters, who will serve as senior executive vice president and national director of regulatory affairs, and Andy Schoepf, chief operating officer of Atria Communities, who will lead the entire operations team as chief operating officer.

"We believe we have put together the most experienced and talented management team in the assisted living industry," said Mulloy. "Although this is a relatively new business, our operations leaders have among them more than 35 years of experience in the senior housing industry. We believe this depth of experience and outstanding talent clearly positions Atria Senior Quarters as a national leader in the assisted living industry."

Atria Senior Quarters currently operates 97 assisted and independent living communities in 26 states with a total resident capacity of nearly 11,500. The company, with nearly 6,000 employees, expects to open 40 additional properties by the end of 1999.