Building Wealth Through Purpose-Built Memory Care Mansions: A Path to Financial Freedom

When investing in senior care real estate, creating purpose-built facilities can significantly increase value compared to retrofitting existing structures. In this blog, we'll break down how building custom memory care mansions not only enhances care quality but also offers an unmatched opportunity for long-term wealth creation.

Why Purpose-Built Facilities Are More Valuable Than Conversions

At Platinum Resort Assisted Living, we prioritize designing and building memory care mansions specifically tailored for end-of-life care, dementia, and assisted living. Unlike converting existing homes or garages, our purpose-built structures are designed from the ground up with this specific care in mind. This specialized approach not only improves the living experience for residents but also significantly increases the property's value.

Welcome to the Future of Assisted Living Investing

Hi, I’m Brett Chotkevys, and I’m excited to show you how we're revolutionizing assisted living real estate. In this blog, I’ll share the four key lessons I've learned that can help you create the same wealth-building strategy.

We’re building 10,000-square-foot memory care mansions, with 16 bedrooms and 17 baths, fully customized for assisted living. On an 8-acre lot, we’re creating a neighborhood of four of these high-end facilities. Think of these homes as custom-built estates rather than traditional assisted living facilities. The result? A product that not only serves residents but also yields massive equity and cash flow for investors.

Lesson 1: Bigger Is Cheaper

When it comes to building assisted living mansions, size matters. Larger facilities allow us to take advantage of economies of scale, particularly with construction costs. At 10,000 square feet, the majority of the space is dedicated to bedrooms, which are relatively inexpensive to build compared to kitchens or living areas. By increasing the size of our buildings, we’re able to lower the cost per square foot, resulting in significant savings without compromising quality.

Lesson 2: Commercial Zoning Adds Value

One of the biggest lessons I’ve learned is the importance of commercial zoning. While residential zones might seem like the easier choice, commercial zones offer more value. Not only do they allow us to build larger and more functional facilities, but they also boost the property’s appraisal value. A building located in a commercial zone is appraised at a higher price per square foot compared to a residential property of the same size. This means greater resale value and a smoother experience with local regulations.

Lesson 3: Purpose-Built Properties Hold Higher Value

Purpose-built memory care facilities are worth significantly more than converted residential homes. When a building is specifically designed for end-of-life care, it meets all regulatory requirements, including ADA compliance, without the need for retrofitting. This results in a higher valuation compared to properties that have been modified post-construction. In contrast, retrofitting a home to meet assisted living standards often results in a “hodgepodge” project with lower resale value.

Lesson 4: Custom Design Pays Off

One of the most common mistakes I see is the use of cookie-cutter blueprints to build assisted living facilities. These generic designs often look like sterile hospitals, with long hallways and impersonal layouts. At Platinum Resort, we solve this problem by designing our mansions to feel like boutique luxury homes. From 15-foot glass walls to stunning chandeliers and great rooms, our facilities are designed to be beautiful, functional, and welcoming. This custom design approach not only attracts residents but also drives up the property’s overall value.

The Numbers Behind Memory Care Mansion Investments

Each of our memory care mansions costs around $2.25 million to build, including land, utilities, and construction. However, appraisals have come back valuing each mansion at over $5.2 million before even factoring in the operational business. Once fully operational and stabilized with residents, these properties are valued at $6.2 million each. This combination of real estate and business creates a unique value-add opportunity, generating nearly $4 million in equity per mansion.

The Long-Term Strategy: Cash Flow and Exit Opportunities

At Platinum Resort, we’re not just building for cash flow; we’re also setting ourselves up for long-term financial freedom. These memory care mansions provide substantial monthly cash flow, but the real win comes in the exit strategy. With millions of dollars in equity in each property, the potential for a profitable sale is massive.

Partner With Us for the Future of Assisted Living

We’re growing our business and expanding our network of memory care mansions. As we continue to develop these purpose-built facilities, we’re looking to partner with like-minded investors who share our passion for providing exceptional end-of-life care while building wealth. If you're interested in learning more about how you can replicate our success with our designs and blueprints, we’d love to hear from you.

Final Thoughts

​Building purpose-built memory care mansions isn’t just about creating a better experience for residents; it’s also about creating a sustainable, high-value business that provides long-term wealth for investors. By focusing on custom design, commercial zoning, and larger facilities, we’ve created a winning formula that sets us apart in the assisted living market.