Wisconsin to Open First 'Dementia Village' in the US

The $40 million project in Fitchburg will feature small-scale homes and community amenities for about 65 residents with dementia.

Published on Feb. 21, 2026

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A nonprofit healthcare agency called Agrace is building what is being called the nation's first "dementia village" in Fitchburg, Wisconsin, near Madison. The $40 million project will feature eight small houses with eight residents each, as well as a restaurant, spa, and grocery store, modeled after a similar community in the Netherlands. The goal is to provide a more autonomous, self-determined, and higher-quality living experience for those with dementia, while also addressing caregiver burnout.

Why it matters

The new dementia village concept aims to improve quality of life for those living with dementia by creating a more home-like, community-oriented environment, rather than a traditional institutional setting. It also seeks to support caregivers and reduce burnout, which is a major issue for those caring for loved ones with dementia.

The details

The 'Ellen & Peter Johnson Dementia Village at Agrace' will house about 65 residents with dementia diagnoses across eight small houses, each with eight residents. The community will also feature a restaurant, spa, and grocery store to provide a more autonomous, self-determined living experience. The $40 million project is being developed by the nonprofit healthcare agency Agrace and is modeled after a similar dementia village in the Netherlands.

  • Construction is expected to start in the spring of 2026.
  • The dementia village is scheduled to open in 2027.

The players

Agrace

A nonprofit healthcare agency that is developing the 'Ellen & Peter Johnson Dementia Village' in Fitchburg, Wisconsin.

Ellen & Peter Johnson

A couple who made a $7 million donation to the project, which will be named after them.

Lynne Sexten

The President and CEO of Agrace, who says the village aims to address both quality of life for those with dementia and caregiver burnout.

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What they’re saying

“We're really trying to address two dire issues at the same time. For those living with dementia, we want to restore their sense of autonomy, self-determination, and happiness. We want to keep that quality of life as high as we can as they progress. At the same time ... the caregiver burnout issue is real. We're hoping that this village really starts to address the caregiver burden.”

— Lynne Sexten, President and CEO, Agrace (Hospice News)

What’s next

Agrace plans to begin construction on the dementia village in the spring of 2026, with the goal of opening the community in 2027.

The takeaway

The 'dementia village' concept represents a shift towards more personalized, community-based care for those living with dementia, aiming to improve quality of life while also supporting overburdened caregivers. If successful, this model could inspire similar projects in other parts of the United States.