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Care Home Development


Affinity is highly focused on becoming increasingly involved in new build projects. There is an ideal opportunity to acquire prime development sites at historically low prices, to build market leading corporate care homes which will pioneer the care market for years to come.

Criteria for new build development:

  • Target key areas with strong demographic demand and poor existing supply
  • Minimum 60 beds care home (will consider 50 beds with strong potential)
  • All rooms 15sq metres with en-suite wet rooms
  • Minimum EBIT of £12k per room per annum (Dementia/Nursing)
  • Minimum EBIT of £12k per room per annum (Dementia/Nursing) £15k EBIT per room per annum for specialist provision (Physically Disabled/Learning Difficulties)

Demand for and expectations of the standard of living provided in care homes are increasing. A larger group of clients with a financial stake in their care has resulted in residents and their families expecting much better care and conditions than might previously have been deemed acceptable. Combined with the reformed regulatory framework, there is positive pressure to improve the quality and diversity of care home accommodation.

The main impact of legislation on new builds has been the stipulation of minimum space requirements, together with increases in the ratio of en-suite single bedrooms, enabling residents to retain a degree of independence and self-esteem. The Care Standards Act 2000 requires that a minimum of 80% of rooms provided are single bedrooms, reflecting the mostly single demographic of residents.

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