Auburn, AL

Premier Assisted Living & Memory Care Asset in Auburn, AL

An exceptional healthcare investment opportunity, this ±33,842 SF licensed assisted living and memory care facility situated on ±4.46 acres in Auburn, Alabama offers investors immediate high-yield returns coupled with long-term stability. Featuring 43 units licensed for 49 beds, the property is offered at $3,400,000 ($69,388/bed)—representing a strategic entry point into one of the Southeast's most dynamic and rapidly growing regional economies.

Known affectionately as "The Loveliest Village on the Plains," Auburn blends collegiate tradition, high-technology industry, and modern residential expansion. The city serves as a premier retirement destination for Auburn University alumni, providing an ideal climate for specialized senior housing options.

Affluent Senior Demographics & Market Supply Deficit

Positioned just 9 minutes from the Auburn University campus, the facility captures strong local demand supported by excellent wealth metrics and demographic fundamentals:

• Affluent Target Demographic: Within the immediate trade area, residents aged 75 and older boast an average net worth of $1,696,281, an average household income of $70,747, and an average home value of $361,052.

• High Educational Attainment: Nearly 68% of Auburn residents hold a bachelor's degree or higher, reflecting a highly educated population base with strong private-pay capacity for specialized senior care.

• Documented Market Need: Independent market analysis shows a 10-mile supply deficit of 82 senior care beds, allowing the facility to maintain its dominant competitive position and high occupancy.

Facility Design, Layout & On-Site Amenities

Constructed on a spacious ±4.46-acre single-story campus zoned CDD (Commercial Development District), the facility features elegantly detailed interiors designed to support both standard assisted living and specialized memory care programs:

• Unit Mix & Accommodations: Offers a combination of spacious single rooms and oversized executive suites tailored for individual and couple occupancy.

• On-Site Amenities: Fully equipped with a professional commercial kitchen, dining halls, an intimate theater, a full-service beauty salon and barbershop, private activity rooms, and wheelchair-accessible grounds.

• Care Services: Staffed for 24/7 personalized care assistance, medication management, and structured memory care programming.

Exceptional Financial Performance & SBA Financing Options

Operating at a robust 92.2% actual occupancy rate, the asset generates $2,176,894.66 in actual gross revenue. Normalizing operating expenses to 75% of gross revenue produces a forecasted NOI of $544,233.66, representing an Acquisition Cap Rate of 16.01%.

5-Year Hold Projection Highlights:

• Leveraged IRR: 92.6%

• Cash-on-Cash Return: 55.2%

• Debt Service Coverage Ratio (DSCR): 2.48x

• Projected Sale Value (Year 5): $8,600,000 (~$5,800,000 net proceeds after expenses)

SBA 504 Financing Eligibility:

The property qualifies for favorable long-term debt through the SBA 504 Loan Program:

• Loan-to-Cost (LTC): Up to 85%

• Term / Amortization: 25-Year Fixed

• Indicative Interest Rate: ~5.856%

Property Summary Specifications