Exhibit 99.1

           American Retirement Corporation Signs Management Agreement
                             for Oklahoma Community

    NASHVILLE, Tenn.--(BUSINESS WIRE)--Sept. 20, 2005--American
Retirement Corporation (NYSE:ACR), a leading national provider of
senior living housing and care, today announced that it has entered
into a 15-year management agreement with American Seniors Foundation
("ASF") to manage its recently acquired Bradford Village community.
Bradford Village, formerly known as Oklahoma Christian Retirement
Community, is an entry-fee community that serves middle income seniors
in Edmond, Oklahoma, 15 miles north of Oklahoma City. The campus
consists of 78 cottage homes, 44 assisted living units, 10 memory care
units and 102 skilled nursing beds, for a total of 234 units/beds.
    "We are pleased to add this community into our portfolio. We
believe this community has tremendous upward potential and that our
experience with entry-fee communities will allow us to bring out that
potential," said Bill Sheriff, Chairman, President and CEO of American
Retirement Corporation. "We have secured an attractive long term
management agreement for this community that has recently emerged from
bankruptcy and has begun a turnaround. We believe we will accelerate
that turnaround. We have provided interim financing, a portion of
which we will secure from a commercial lender, and allow ASF to put
permanent tax-exempt financing in place at the appropriate time. The
interim financing includes the $9 million purchase price and up to
$1.5 million of working capital and capital expenditures for the
community as needed (a portion of which was funded at closing). We
will earn an attractive return on our capital (estimated to be
approximately 9.7%), including a positive arbitrage on the commercial
lender portion of it."

    Profiles

    American Retirement Corporation

    American Retirement Corporation is a national senior living and
health care services provider offering a broad range of care and
services to seniors, including independent living, assisted living,
skilled nursing and Alzheimer's care. Established in 1978, the company
believes that it is a leader in the operation and management of senior
living communities, including independent living communities,
continuing care retirement communities, free-standing assisted living
communities, and the development of specialized care programs for
residents with Alzheimer's and other forms of dementia. The company's
operating philosophy is to enhance the lives of seniors by striving to
provide the highest quality of care and services in well-operated
communities designed to improve and protect the quality of life,
independence, personal freedom, privacy, spirit, and dignity of its
residents. The company currently operates 68 senior living communities
in 15 states, with an aggregate unit capacity of approximately 13,500
units and resident capacity of approximately 15,100. The company owns
18 communities, leases 43 communities, and manages seven communities
pursuant to management agreements.

    American Seniors Foundation

    American Seniors Foundation was founded eight years ago to provide
quality housing and healthcare for seniors and to enhance the number
and quality of healthcare practitioners dedicated to serving seniors.
Toward that end, and in keeping with its charitable nature, American
Seniors Foundation plans to offer nursing school scholarships for
those who agree to work in the senior living industry upon completion
of their studies.

    Safe Harbor Statement

    Statements contained in this press release and statements made by
or on behalf of American Retirement Corporation relating hereto may be
deemed to constitute forward-looking information made pursuant to the
safe harbor provisions of the Private Securities Litigation Reform Act
of 1995. These forward-looking statements include all statements that
are not historical statements of fact and those regarding the intent,
belief or expectations of the company or its management, including,
without limitation, all statements regarding the company's
expectations regarding the rate of return to be earned on the
financing, all statements regarding the company's plans to secure
additional financing, all statements regarding anticipated capital
expenditures and operational and financial improvements at the
community and all statements regarding ASF's anticipated tax-exempt
refinancing. These forward-looking statements may be affected by
certain risks and uncertainties, including without limitation the
following: (i) the company's ability to successfully integrate the
community into the company's operations and to improve the operational
results of the community, (ii) the company's ability to obtain
additional financing on satisfactory terms, (iii) the ability of ASF
to repay amounts due the company and/or to obtain replacement
financing on satisfactory terms, (iv) the risks associated with
adverse market conditions of the senior housing industry and the
United States economy in general, (v) the risk associated with the
company's significant leverage, and (vi) the risk factors described in
the company's Annual Report on Form 10-K/A for the year ended December
31, 2004 under the caption "Risk Factors" and in the company's other
filings with the SEC. In light of the significant uncertainties
inherent in the forward-looking statements included herein, the
company's actual results could differ materially from such
forward-looking statements. The company does not undertake any
obligation to publicly release any revisions to any forward-looking
statements contained herein to reflect events and circumstances
occurring after the date hereof or to reflect the occurrence of
unanticipated events.

    CONTACT: American Retirement Corporation
             Ross C. Roadman, 615-376-2412