How do I buy a nursing home?
Direct answer
Buying a nursing home follows the same path as buying assisted living, with heavier regulation: define criteria, secure financing and a licensed nursing home administrator, underwrite payor mix and survey history, negotiate an LOI, complete due diligence, and obtain both the state license and the Medicare and Medicaid change of ownership before closing.
What to know
Underwrite reimbursement. Most revenue comes from Medicare and Medicaid, so state Medicaid rates and payor mix drive value.
Check quality closely. CMS star ratings and inspection history affect both value and risk.
Plan leadership early. Nursing homes must be run by a state-licensed nursing home administrator.
Expect a longer timeline than assisted living because of the Medicare and Medicaid change-of-ownership process.
How Haven helps
Haven represents buyers of skilled nursing facilities with 16 or more beds and coordinates due diligence and licensing. Visit our buyers page.