I am just curious how you feel about nursing homes as an investment opportunity?
Good question, I’ve been wanting to possibly wade into CBRF properties for awhile now!
In the process of buying one to rehab, 140 beds 35000sf on 2 1/2 acres. It has been fun so far
Cool! do you have any background in the industry? by industry I mean the nursing home/healthcare industry. that’s been something holding me up, is that I know NOTHING about nursing homes/CBRF/whatever. what I do know is real estate!
My father-in-law has owned and operated a nursing home since the 70s. Its been a cash cow for him and he is very well off. It’s allowed him to venture into other business opportunities over the years. His grandson is set to take over the business sometime in the future. My guess is he will run it until he dies. It’s a 216 bed facility. He keeps it in great shape and he really cares about all his patients so it has worked well for him.
I work in NHs as a psychologist. I would say that yes, it can be a moneymaker. But I talk with the administration sometimes and they are so frustrated by the govt. red tape, upcoming Medicare and Medicaid cuts etc. that I’m not sure I see the future as being as rosy as it has been.
I know a guy who built a whole chain of them - all over the USA. They had an IPO even, and he cashed out long ago. At a minimum his net worth is in the tens of millions, if not over a hundred million dollars. I only wish I knew him better so I could go into business with him!!! LOL