Ground up construction for residential assisted living.

[Dustin Randy]

We are planning on building two residential assisted living and memory care homes here in Las Vegas/Henderson. The current state of assisted living is largely the big box multilevel facilities where care and personal attention to the residents tends to suffer. We will be building smaller scale buildings where seniors can age in place in a more home-like environment with personalized care. We have partnered with an experienced operator/mentor out of Texas who recently finished completion of two more 16 bedroom homes and will be utilizing his blueprints which will need to be adapted for Nevada compliance and local aesthetics.  His organization provides access to development, operations, and marketing experience. We are new to development though my wife and I have about 30 years of healthcare experience between us as a Physician Assistant and Nurse Practitioner.  We love the idea of investing in this area as it is not only highly lucrative but provides a much needed service for seniors who are being poorly served.

We were initially planning on using SBA financing to acquire the land and fund the construction and working capital all in one and have been in talks with a few SBA lenders who are comfortable with this business model. However, given the realistic timelines of the rezoning and permitting process as SBA needs all that done prior to funding, it's not going to be feasible to find a seller willing to have a property under contract for that length of time. Our two paths forward look like getting a property under contract through the 4-6 months for rezoning then closing with a bridge loan which will later be subsumed with SBA funding, vs seller funding or JV with a current property owner.

We could use advice on the best way to obtain funding for the land acquisition. Funds for the down payment will be raised from investors so we don't have the cash on hand, but we both have stable W2 jobs with ~400k household income and credit scores over 800.

We would also welcome advice on what a JV split would look like with a property owner.