Tucson’s Senior Housing Specialist Closes 10-Bed Assisted Living Home

A previously licensed 10-bed assisted living home at 1436 West Liddell Drive in northwest Tucson sold for $255,000 ($93/ PSF) to William O. Holmes of Tucson.  Holmes currently operates a 10-bed assisted living home and will be moving from current leased premises to the property. The 2,754-square-foot home (built 1981) that sits on a .74 acre lot was off-market when it sold.

Mark Biery, JD, CCIM, a Senior Housing Specialist with Berkshire Hathaway Commercial Real Estate in Tucson handled the transaction, finding both off-market parties.  “A retirement-age population that is expanding constantly and low interest rates are paying dividends in the seniors housing sector right now,” according to Biery.  “High demand for senior housing properties has tightened available inventory, but investors that can find under performing assets and increase the efficiency of the operations will be rewarded. Finding the right property in the right area and navigating the legal and licensing requirements can be challenging and demands specialization.”

Biery referred to the September/October, 2014 issue of Senior Living Executive  magazine, which claimed that “while other sectors of the real estate market suffered double-digit losses [during the Recession], assisted living remained relatively flat.”  He explained, “while no sector of real estate is completely recession-proof, over the last five years, senior housing saw much less volatility than office, industrial, and especially retail.”

Baby boomers’ parents are the primary utilizers of assisted living facilities today and this group is likely to feel more comfortable with the expenditure for seniors housing when the need arises.  They also expect a higher, more specialized level of care for their parents, and they’re willing to pay for it.  As a result, demand for strong operations is high as large owners and management companies are lifting the ability to offer high prices for properties.

To learn more, Biery should be contacted at 520.235.2531.