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

Requirements:

AI National Synchronous Participation Requirements:

All students are required to have a computer, webcam, and microphone capability to participate and receive continuing or qualifying education credit where approved.

It is the student’s responsibility to have the required equipment to participate and receive credit. Visit the System Requirements for Attendees and Share Webcam pages for help.

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