Wisconsin’s $40 Million Dementia Village Offers Home-Like Living, Restaurant, Spa, and Caretaker Housing
The nation’s first “dementia village” is coming to Wisconsin, a $40 million project designed to help residents maintain community, connection, and quality of life as their illness progresses.
“Living at this campus will not feel like an institution — we are building individual households that look and feel just like a home,” said Lynne Sexten, president and CEO of Agrace, the nonprofit healthcare agency leading the development.
Wisconsin’s $40 Million Dementia Village Will Redefine Memory Care with Homes, Shops, and On-Site Caretakers
Agrace, a nonprofit hospice and palliative care provider, is developing the nation’s first “dementia village” in the Madison area. The $40 million campus is designed to help residents maintain independence, community, and quality of life as their illness progresses.
The development will feature eight household units, each with private bedrooms and shared kitchens and living rooms that feel warm and familiar rather than clinical. Each home will accommodate eight residents grouped by similar interests and life experiences, encouraging daily activities and social engagement.
Staff will live on-site, with specially trained caretakers enjoying their own private studios. Agrace hopes this setup will attract professionals seeking hands-on, relationship-focused work, while also helping to ease staffing shortages that often challenge long-term care facilities.
The campus will also include a restaurant, spa, grocery store, retail shops, a movie theater, and outdoor green spaces such as parks and gardens—allowing residents freedom to explore safely within a secure environment. For more information about maintaining beautiful outdoor areas, residents and planners can refer to a landscape supplies FAQ to better understand materials, upkeep, and design options for green spaces.
“The village will be thoughtfully designed to support those with dementia, keeping them safe while offering access to a robust social network they can actively enjoy,” said Lynne Sexten, president and CEO of Agrace.
While this is the first U.S. dementia village, the concept draws inspiration from the pioneering Hogeweyk model in the Netherlands. Since its launch in 2009, the village-style approach has expanded across Europe, Australia, China, and Canada, transforming sterile care facilities into neighborhoods that value autonomy, social connection, and quality of life alongside medical care.
Wisconsin Dementia Village to Offer Grocery Store, Movie Theater, and Green Spaces for Residents
The upcoming Wisconsin dementia village will feature a grocery store, movie theater, and expansive outdoor green spaces, giving residents freedom to explore safely while remaining in a secure, supportive environment.
Experts say the village-style model has a measurable impact on patient well-being. “We see that people stay for a much longer period in better physical, mental, social, and spiritual condition,” said Eloy van Hal, founder of the original Hogeweyk village in the Netherlands, in an interview with Madison’s Cap Times.
With dementia rates rising globally, the need for innovative care is urgent. In the U.S., roughly 500,000 people are diagnosed each year—a number projected to reach 1 million annually by 2060 as the population ages. Research shows many of the more than 6 million Americans currently living with dementia lack consistent, high-quality, coordinated care, leading to frequent hospitalizations and significant strain on families.
“Study after study in the United States shows that quality of life from the moment of diagnosis through death is a precipitous decline,” said Lynne Sexten, president and CEO of Agrace.
The Wisconsin village will accommodate up to 65 full-time residents and welcome 40 to 50 Day Club members—adults with dementia who live at home but spend their days participating in activities alongside residents.
Agrace has not yet released detailed pricing, though families will cover room and board while medical costs may be billed to insurance. “Residents will pay monthly rates comparable to what they would otherwise pay at assisted living facilities,” an Agrace spokesperson told the Daily Mail. Agrace also has an endowment to provide a sliding fee scale for individuals who may not be able to afford the full cost.
Groundbreaking on the Fitchburg campus near Madison is planned for spring 2026, with the village expected to open in September 2027.
