American HealthCare Capital is pleased to introduce a 44-bed adult residential facility, as well as a separate outpatient facility, for sale in a heavily populated and coveted location in Southern California. The inpatient property is a Joint Commission Accredited, IMS-certified, California State-licensed residential facility for ASAM 3.1, 3.2, and 3.5 levels of care for drug and alcohol addiction, detox, and recovery, as well as a behavioral health treatment for co-disorders. The separate outpatient/intensive outpatient facility is also Joint Commission accredited and certified by the state to provide ASAM 1.0 and 2.1 levels of care. The properties are owned by the sellers and are available for sale or rent. The adult residential facilities for sale have been in existence for two decades and the company has provided unparalleled care to its clients. With the onset of Covid, demand was negatively impacted, particularly in the self-pay population, and the company has taken steps to recently add more lucrative commercial contracts to its arsenal. This represents a great opportunity for a future buyer/investor to meet the community’s tremendous need in a top location in the country, where it is now practically impossible to enter the market.
In 2019, revenue was $4.2 million and adjusted EBITDA was $627,000. Revenues were consistent during 2020, 2021, and 2022, averaging approximately $3.35 million each year. Adjusted EBITDA was $425,000 in 2022, $164,000 in 2021, and $341,000 in 2020. During the first quarter of 2023, revenues on a cash basis were $622,000 with a flat adjusted EBITDA. With the addition of a robust and targeted advertising/marketing budget to bring in clients covered by the new commercial insurance policies, these facilities will easily generate a multiple of the prior years’ revenue. The staff is expected to stay, and the owners are open to discussion about their potential future roles.
As this opportunity consists of both a fully licensed and accredited adult residential facility of 44 beds and a separate outpatient/intensive outpatient facility for sale, the asking price is to be determined based on the interests of the prospective buyers/investors, and whether they intend to lease or purchase the real estate.
If you would like to learn more, please use the link on the right-hand side of the page to execute our NDA. You will need to copy the Listing Code (Example: TXMC1A) and Listing Title (Example: $1 Million Home Health Agency in Texas) from the summary above to complete the NDA.