This approach functions similarly to a traditional commercial lease with longer-term tenants and higher-than-average rents.Pros:Consistent, Passive Income – Since RAL operators typically sign long-term leases (often 5–10 years), landlords enjoy stable rental income with fewer vacancies.Reduced Liability – By leasing to an operator, the investor avoids the operational complexities and legal responsibilities associated with caring for residents.Lower Workload – No need to manage staffing, compliance, or daily operations, making it a more passive investment.Cons:Limited Cash Flow Potential – While the rents are higher than standard residential properties, they don’t come close to the potential profits of owning the business.Dependence on Operator Success – If the operator fails to maintain a profitable business, the investor risks losing a reliable tenant, leading to turnover and potential vacancy.Less Control – The property owner has little say in how the business is run, which can impact property value and tenant reliability.Owning the Real Estate and the BusinessFor those looking for maximum cash flow, owning both the property and the assisted living business presents a lucrative opportunity.

You really have to figure out the zip codes yourself...their rent #'s are accurate as when you close on the property there will already be a tenant in there.  

Hiring out would decimate my cash flow on a long term rental and I don’t have the time to run a hospitality business.

Median home price is the deviding line in every metro area.

Yep, we have a few on our sites.

And know what your cost of lending is on a daily basis. 

Be sure to explore all around the forums as well as many of the FREE tools that Bigger Pockets provides.I am on the lending side of things and am always happy to hop on a call to discuss loan options that are out there, even if not offered by my resources.

Consumers pick up on that. 

Also Chip and Joann Gaines and put this town on the map with their show on TV.

I have been trying to make sure I catch up on all the old threads and look like I missed this one.