Is anyone investing in Skilled Nursing Facilities (SNF) ???

Question

Looking to connect with someone who has experience investing in SNFs, either through partnerships or syndications. I have a medical background and want to learn more about the potential in this asset class... maybe even partner with someone on a deal!

Or if anyone has resources as to where I can find the best information regarding this niche.

Or if anyone has resources as to where I can find the best information regarding this niche.

Chris Oakeson · Answer

I am actually a nursing home administrator, the idea of owning my own SNF has crossed my mind a few times. Here in California the "mom & pop" SNFs are all being bought up by the bigger players in the area due to the constant change in regulations and liability from everyone wanting to sue. CDPH, OSHPD and the other regulatory agencies have made it very hard to operate, but on the flip side the owners of the SNFs out here do very very well for themselves. I have considered buying one outside of California but I wouldn't even know where to look. All the SNFs that I have been an administrator at there is a management company which is the owner of the business and there is someone else that owns the actual building and land. We pay rent to the owner and a management fee to the parent company. That business structure keeps the owners at an arms distance from the business. So say the company owns 10 SNFs they have them all as separate entities for legal purposes, that way if one SNF gets a lawsuit they cannot sue them all.

Jerel Davis · Answer

I know very little about it, but my coworker does it.  I'm a nurse.  He stressed the importance of it being ADA accessible so larger bathrooms and specific ADA Standards, but they pay more.  He flips monster homes in Hawaii.