The Converted Care Home Property Market by Julie Hopkins
How to reposition your converted care home property
Looking at a growing trend in the converted care home property market there are several options to pursue.
These include reassessing demand in the local area and the community need. The demand for converted independent care homes continues where a growing need has been identified and the care home has future potential, whether this is for an extended care facility or a change of use for a supported living provision from a residential service.
The independent brokers at Chandler & Co are also seeing more enquiries to convert other sector properties into supported living units, demonstrating a healthy demand for this provision.
The care sector continues to experience steady mergers and acquisitions as retirement care home sales come to fruition as part of succession planning, with independent acquirers seeking to expand their portfolios as these businesses come to the market within a manageable geographical location.
For care providers who have acquisition as part of their growth strategy, having a well thought out business plan and growth strategy remain paramount.
Businesses seeking growth will be looking for a value proposition and how the prospective care business will fit in with their current portfolio. Typical questions when looking at a care home proposition include, have you considered a lift, if so, where could it be located? The lift scenario is becoming more poignant as individual’s needs are becoming more complex as part of the ageing process, and for more acute supported living requirements.
Visit Edward Cooper Young and Rayner Davies Architects (Own a Care Home, Extensions & Site Developments), for further information regarding care home extensions on converted property as well as new builds.
Other value areas include land capacity and the potential for planning permission, if not already in existence or lapsed, to extend the number of rooms, carry out a refit to increase the number of wet rooms, improve the environment, energy provision, and the adequacy of fire security and installation. Ocean Fire and Security Limited [Own a Care Home, Ocean Fire and Security] carried out a recent review of a fire installation as the new fire and safety suppliers for a care home in the Southwest, and rectified any shortcomings swiftly and efficiently. Prospective care home purchasers will always want to ensure that the provision’s fire and safety standards are up to date with resident and staff safety uppermost.
Businesses with experienced management and strong governance policies remain appealing for the care home purchaser, and having an operational [Own a Care Home | Compliance & support] and financial due diligence Own a Care Home | Finance matters] review in readiness for market entry together with Care Home Agent conversations, can be invaluable for a sale and purchase to be handled smoothly. In addition, having finance options ready as discussed with an independent care home broker prove invaluable, and the established and expert team at Chandler&Co continue to support the care home and wider health and social care sector as it evolves in a post pandemic world. For further information on your financing options visit www.chandlerandco.co.uk or call 01622 817484.