Private buyer / small residential care homes
Looking to buy one care home, directly from its owner.
I am looking for a licensed assisted living or memory care home, 8 to 16 beds, somewhere in a major Texas metro. I would buy the building and the business together and keep it running.
I am buying one home for myself, not for a fund and not for a client. I read your numbers, give you a price, and show you how I got there. There is no commission for you to pay.
Acquisition criteria
- Beds
- 8 to 16, licensed
- License
- Type B preferred, A considered
- Care
- Assisted living, memory care
- Alzheimer's
- Welcome, not required
- Payer mix
- Private pay, VA included
- Purchase
- Real estate and operations
- Markets
- Major Texas metros
- To close
- 60 to 120 days, CHOW included
Partial fit Most homes miss on something. Bed count, census, payer mix, license type, or the wrong side of the map. Email anyway.
What owners ask.
If you are deciding whether a conversation is worth having, start here.
What happens to my residents?
I buy the home to own it and run it, not to resell it. No resident is asked to move because the owner changed, and existing resident agreements are honored as written.
Continuity before change: the resident service plans, the med pass schedule and the routines in place the week I close are the ones in place the week after.
What happens to my staff, and when do they find out?
The home is run by a director employed on site, not by a third party management company.
Your staff find out when you decide to tell them, and not before. Site visits happen at times you pick and are explained to your staff however you decide to explain them. Nothing about the home's status is volunteered to anyone who works there.
Everyone on the payroll is offered a place. Employment decisions are made only after the screening Texas requires for the role is complete, so nobody is hired and then unhired. Before closing, at a time you set and explained the way you want it explained, I meet the caregivers.
If you are the manager today, replacing yourself is the hardest part of the handover, and it gets planned before anything is signed rather than after. If you would rather stay on and keep running the home, I am open to that as well, on an arrangement that works for both of us. Either way it is the part of this I want to talk about first.
How a sale runs, and how long it takes
A few minutes on the phone and nothing more than that. No documents, no NDA, no obligation. It is a get to know you call: what you built, how the home runs, and whether selling is something you are even thinking about yet. If it is not, that is a perfectly good answer. And if you know someone who might be closer to it than you are, I would like that conversation too.
I sign an NDA first whenever a seller asks for one. Then the file:
- Twelve months of profit and loss, monthly
- Current census, private room count, rates, and move-in dates
- Payroll register and the night staffing schedule
- Your HHSC survey findings and any plan of correction
A letter of intent. Price, structure, deposit, closing date, and every condition the offer is subject to, all of it named on the day it is made. If I cannot get to a price worth your time, you get that answer instead, with the arithmetic that produced it.
Title, the deed and any recorded liens, property condition, certificate of occupancy and the fire marshal inspection, and confirmation of the numbers.
Texas does not transfer a license. The buyer applies as a new license holder through the HHSC change of ownership process, and the closing is scheduled around that review.
How do you work out what it is worth?
From what the home earns, not from what a house down the street sold for. I take your last twelve months, work out what it really costs to run the home properly, and the number comes off that. The building and the business are bought together, so they get valued together.
A lot of what moves that number is already in your hands. Private rooms rather than shared ones. Residents who pay privately and stay. A clean inspection record. Caregivers on your own payroll rather than an agency's.
Whatever number I get to, you see how I got there, on paper, even if it is not a number you would take.
I have not decided to sell. Is it worth talking?
Yes. Most of the people I talk to are not selling. Some are years away from it, some have never seriously thought about it, and some just want to know what the home is worth before deciding anything at all. Any of those is worth a call, and nothing said in a first conversation commits you to anything.
Before there is a deal, one person reads what you send, and it is used only to evaluate a purchase. On a live deal it reaches the professionals needed to close it and no one else. It is not shown to another buyer. Not to anyone who works in your home, and not to your staff without your say so.
For listing brokers.
Please send any confidentiality agreement or offering memorandum to the address below. It comes straight to me, not to an analyst or an assistant, and you get an answer either way.
What fits: 8 to 16 licensed beds in a major Texas metro, private pay, building and business together, Type B preferred and Type A considered. Send the marginal ones too. Most homes miss on something.
- Your confidentiality agreement comes back signed, or with every edit in one pass
- Every memorandum gets a written answer, including when the answer is no
- Every offer states its price, structure, timing and conditions on its face
- Where a home is listed, your fee is between you and your seller. I do not ask for it to be reduced
One email is enough.
If a question is not answered above, that is the one worth asking. Email or call, and the reply comes back the same way.