Appraising Senior Housing and Nursing Homes

After satisfactorily completing this program, participants should be able to:

• Differentiate types of senior housing properties, licensing categories, and ownership structures. 

• Analyze transaction components by distinguishing between tangible assets, intangible assets, and liabilities. 

• Evaluate appraisal scenarios by identifying key assumptions, conditions, and factors that influence value.

• Interpret lease structures, terms, and provisions relevant to senior housing properties. 

• Analyze market data to develop and support market rent conclusions. 

• Apply income-based techniques to assess leasehold and leased fee interests.

• Explain the components of going concern value and their relevance in senior housing valuation. 

• Apply cost and income-based approaches to allocate going concern value. 

• Reconcile multiple valuation methods to support credible and defensible conclusions.

• Apply the cost approach to estimate value, including land, entitlements, and indirect cost considerations. 

• Analyze comparable sales data, including verification, units of comparison, and transactional characteristics. 

• Adjust sale prices using market conditions, location, physical, and economic factors to derive supported indications of value. 

• Analyze market conditions, including supply, demand, and competition, to support occupancy and performance forecasts. 

• Develop revenue and expense projections, incorporating reimbursement structures, rent components, and operating considerations. 

• Reconcile value indications from multiple approaches to produce a credible final going concern value conclusion.

Program Overview:

Appraising Senior Housing and Nursing Homes

Program Overview

Part 1. Foundations of Senior Housing Appraisal

• Understanding Senior Housing & What You’re Appraising

• Property Rights, Ownership & Transaction Structure

• Tangible vs. Intangible Assets in Transactions

• Transfers, Agreements & Deal Considerations

• Assumptions, Conditions & Appraisal Foundations

Part 2. Lease Analysis & Income Framework

• Lease Fundamentals & Market Rent Concepts

• Lease Data & Market Rent Analysis

• Leasehold, Leased Fee & Capitalization Analysis

Part 3. Going Concern Valuation & Allocation

• Introduction to Going Concern Value Allocation

• Cost Approach in Going Concern Allocation

• Market Rent & Income-Based Allocation Methods

• Additional Allocation Techniques & Wrap-Up

Part 4. Application of Valuation Approaches

• Cost Approach to Going Concern Value

• Sales Comparison Approach – Data & Methodology

• Sales Comparison Approach – Adjustments & Analysis

Part 5. Income Modeling & Final Reconciliation

• Income Capitalization Approach – Market Analysis

• Income Capitalization Approach – Revenue & Expenses

• Final Value Conclusion & Reflection

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