Level of care fees

Definition

Charges added above base rent as a resident needs more help, and where the growth is.

Why It Matters

Occupancy is the number everyone quotes and acuity is the number that pays, because the same full building earns very differently depending on how honestly care levels are assessed and re-assessed. A seller who has not raised a resident's level in three years is showing you both a soft revenue line and a staffing cost that has already risen. Ask for the level distribution and when each was last reviewed.