An appraiser recently contacted us about a survey they were conducting. They were trying to get a better understanding of the effect Coronavirus and Covid-19 may be having on transactions involving sales and acquisitions of assisted living facilities. We shared our opinion with them and we wanted to share our thoughts with you too. Here are a few of the questions and our best answers as of today (all this is subject to change, like everything else lately). Are buyers still in the market? Yes, buyers are still … [Read more...]
How a first-time seller navigated an uncommon challenge, successfully sold a business, and got to continue doing what she loved most with the help of Senior Care Realty
What happens when you love the residents but no longer want to deal with the challenges of ownership? The owner of a 27-bed community-based residential facility (CBRF) in the Milwaukee suburbs loved senior care. But, dealing with the day-to-day headaches of owning the business was exhausting. She wanted to move onto the next chapter of her life. Having never sold a CBRF, the owner didn’t know where to start. She needed someone by her side, guiding her through the process. She reached out to Senior Care Realty … [Read more...]
Patience, Persistence, and Payoff
How do you get full asking price when it takes longer than expected to sell? Keep running the business with a long-term mindset. That's the advice Senior Care Realty’s Bob Richards provides clients. Many things, out of the seller’s control, can cause the sale of a business to take longer than expected. A potential buyer loses a key member of its regional staff. The state requires a plan of correction before transferring the license. Or, to secure financing, the buyer needs to find a management … [Read more...]
Helping Two Landlords and One Operator Complete a Sale
A successful sales story of two landlords and a tenant who all wanted to transition out of the business How do you help two landlords sell an assisted living facility when the tenant is failing to pay rent? And, how do you transition the property without displacing residents or losing jobs? Senior Care Realty's Mark Van Den Broeke faced this challenge. The property was a three-building, 66-bed community-based residential facility in northeast Wisconsin. One landlord owned two buildings. The second landlord … [Read more...]
Senior Care Realty Announces Sale in Minnesota
Sometimes an operator can stretch a bit too far geographically, or otherwise, and end up with a property that just doesn't fit anymore. That was the case with this assisted living facility in northern Minnesota that was hours away from the previous owner's other facilities. Senior Care Realty's Bob Richards had been working with the owner on the sale of a larger portfolio (which is available - contact Bob for details) and it became clear that this single property needed to be spun off to make the rest … [Read more...]
Senior Care Realty Announces Sale of Iowa Portfolio
A family business in western Iowa was ready to make a change in their lifestyle and decided to sell their assisted living facilities. The four facilities were located in three communities in northwestern Iowa with the first built in 2005 and the newest built in 2016. The portfolio had a total capacity of 162 residents with 123 resident units. Senior Care Realty's Mark Van Den Broeke made contact with the sellers while they were considering their options for the future. The sellers were concerned … [Read more...]
What’s The Price Per Unit? Good Question.
There are several approaches to value, as we’ve written about in the past. One approach that can be dangerous is simply multiplying the number of units times the price per unit that you saw for another property. The price per bed or unit won’t determine the facility's value, it’s just one of the measures that results from the valuation. While the price per unit or price per bed isn’t a good way to determine value, it can be a useful benchmark when comparing similar properties. But that raises another question: … [Read more...]
How Long Does it Take to Sell My Assisted Living Facility?
The most frequent question we receive at Senior Care Realty is what's my property worth? The next most frequent has to be how long does it take to sell? Let's face it. Selling an assisted living facility or any kind of property or business can be a lot of work. The mental drain that comes from the ups and downs can be the greatest challenge. So everyone who decides to sell wants their facility sold now. But it takes some time. Every sale is different. Some will take 90 days and others might take years. In … [Read more...]
What’s the Value of Your Assisted Living Facility
If you are like many assisted living owners, there will come a time to sell the business. Perhaps you are ready to retire, or it may be time to move on to another type of business venture. Whatever the case, when it comes to selling your facility, you want to command the highest possible selling price and you certainly do not want to leave money on the table. But, how do you determine a price that guarantees a good return on your investment, yet is reasonable enough to attract a buyer? Unfortunately, it’s … [Read more...]