- Previous studies, especially those conducted during the 1960s, have maintained that institutions have a negative impact on the quality of life and well-being of their elderly residents. Various studies have focused on organizational traits, such as size and type of ownership, as being explanatory variables affecting SWB (subjective well-being). The present study investigated: (1) the SWB levels among functionally independent female residents of old age homes in Israel; (2) whether old age homes differ in terms of SWB levels; and, (3) the impact of organization characteristics, such as levels of centralization and formalization, on residents' SWB. The sample included 464 residents and 164 staff members in 48 old age homes. The findings show that the majority of the residents expressed moderate to high levels of SWB and that the facilities differed significantly in terms of the level of SWB reported by their residents. The facilities were homogeneous in terms of formalization, but differed significantly in terms of centralization and in their organizational structure. No correlation was found, however, linking the organizational qualities to the SWB reported by the elderly residents. The implications of the study results are discussed for policy and program development purposes.