In my town they seem to have spent a decade building "luxury housing for seniors" in a project that seemed about as bungled as a building a nuclear reactor. They blame the pandemic but the project stretched on for years before the pandemic.
Of course they find out when it is ready to rent that there is no market for "luxury housing for seniors" because seniors who have money either split for Florida or go to Kendal [1], and the remainder are on a fixed income and looking for "affordable housing".
Not sure how the lenders benefit by building apartment buildings that can't find renters though I can see how they might systematically fool themselves into believing in a luxury market that doesn't exist. Affordable units might be less profitable on paper but it's a choice between getting less rent than you wish you would get vs getting no rent at all.
Of course they find out when it is ready to rent that there is no market for "luxury housing for seniors" because seniors who have money either split for Florida or go to Kendal [1], and the remainder are on a fixed income and looking for "affordable housing".
[1] https://kai.kendal.org/