How Much Does It Cost to Build an Assisted Living Facility | Rising Star Properties

According to Pew Social Trends, the United States population could reach 438 million in the year 2050. About 20 percent of that would be senior citizens. Because of this prediction, more real estate developers are delving into building an assisted living facility. Caregivers in the family also continue to decrease because younger adults often go to work for at least 8 hours a day or manage their own business. 

Is Kali Muscle On Steroids Or Natural? australian steroids buy anabolic steroids in uk, where to buy testosterone cypionate injections – goalies united

With this ongoing demand, many are inspired to build an assisted living facility. Building an assisted living facility is rewarding as owners can help families in taking care of their elderly parents.

How much does it cost to build an assisted living facility? In this blog, you will have a glimpse of how much it cost to build an assisted living facility.

The total cost to build an assisted living facility depends on several factors — location is one of them. We all know that the cost of real estate in the United States varies on its location. Aside from location, materials, equipment, tools, and amenities should also be considered. Hiring of contractors, architects, and medical staff will also add to the total cost of your assisted living facility.

Start-up Capital

Based on Jim Moore, author of Assisted Living Strategies for Changing Markets, a brand-new assisted living facility would cost around 11 million dollars for an 80-unit building. That would be around 130,000-145,000 dollars per room. It includes the design of the building, its constructions, and installation of equipment and furniture.

If you are quite short on budget, you may apply for a bank loan. They usually lend 25 to 50 percent of the total cost. It basically depends on the security bond that you have given and your capacity to pay the loan.

Moore added that it would be better to build an 80-unit building instead of compacting 20 to 40 units. The highest expenses are allotted to nursing and caregiving staff, based on the estimates of Moore. An 80-unit assisted living facility could pull about 2.75 million dollars in revenue a year. Yet, expenses for food and personnel eat up 15-17 percent of the income, respectively.


Depending on the size of the building the monthly expense for utilities is around 2,000 dollars. In addition to that, bedding expenses and medical supplies also cost several thousand dollars per month. These utilities demand to be replenished from time to time.


About 9 percent of your income is allocated to insurance, taxes, and utility bills. Maintenance of assisted living facilities and their security consumes 7 percent of your revenue. Another 5 percent is added to housekeeping and laundry services.

If you’re interested to know how much it costs to build  senior housing, read our article. 


Call RISING STAR PROPERTIES now at (386) 316-9218 or (561) 301-3222 or email us at We will help you build your assisted living facility at affordable costs.

Get The Latest Updates
We'll give you news about our wins and the latest trends in the construction industry.