Senior Housing and Skilled Nursing Facilities - Resources/Courses for Underwriting
Hi, as the title states I am looking to gain more knowledge on underwriting and evaluating senior housing and skilled nursing facilities in the US.
[{"id": "ijto5s4", "text": "For a decent primer, you can Google \"Valuation of Seniors Housing Properties CBRE\". I've just checked and it still looks to be available as a PDF via an online search on the Appraisal Institute's website. I've used it when I cut my teeth in the space years ago. An Appraiser at CBRE created it for a presentation, and although dated (2015) it is a good start after you get past the useless charts. Obviously appraisal versus underwriting for investment purposes may have some differences, but the general concepts will be similar and it goes into detail on market analysis and the different approaches to value.\n\nKeep in mind these are going concerns so the values will include personal property and often intangible value as well, but that will be more relevant when sourcing financing. I hope it helps.", "replies": [], "depth": 1}, {"id": "ijuo2r7", "text": "iirc *The Appraisal Institute* website sells a dated book about valuation.", "replies": [], "depth": 1}, {"id": "ijxq08c", "text": "You can check out ULI's book on the subject. I haven't read it but their stuff is usually a good enough primer to get started with. \n\nhttps://uli.bookstore.ipgbook.com/seniors--housing-and-care-facilities-products-9780874208207.php\n\nIn my limited experience underwriting senior's care housing, it's a highly diverse asset class and each facility or portfolio is operated as its own fairly complex business with a number of revenue streams and variable cost centers. The closest analog would be full service resorts. Even once you get a handle on the basics of the vanilla senior's care model, you can dive into specialized delivery models like semi-independent, memory-care or hospice facilities.\n\nIt's a very learnable subset of CRE, but it's one of the more complex and niche ones. If you get the hang of it, you'll have some great career pivots available to you.", "replies": [], "depth": 1}, {"id": "ikb1tsx", "text": "Just a piece of advice- these are more operating a business than a real estate play.", "replies": [], "depth": 1}]