The UK Care Home Market: 5 Part Series: Part 4 – The Care Quality Gap.
Select Portfolio offers a unique range of UK care home investment opportunities, designed to provide a lucrative and sustainable source of income, while simultaneously acting as an investment in the future of our loved ones. We’ve put together an insightful five part series looking, in detail, at the property investments within the care sector and why it is becoming increasingly important to the UK’s ageing population.
In Part 3 we looked at the business case for investment within the UK care sector, and why it is becoming increasingly popular amongst private investors who are branching out into alternative property investments in the UK.
In Part 4 we examine the significant quality gap in the care facilities currently operating throughout the UK, and how we only work with developers that create care facilities of the very highest standards.
Part 4: The Care Quality Gap.
The quality of a care home is a top priority for any stakeholder involved in its operation. A place for our loved ones to reside, we all expect the highest of standards of the building, the facilities and the staff.
Unfortunately across the UK up to 80% of UK care home stock is considered to be ‘below institutional quality’ according to Knight Frank. These inadequate facilities require significant financial investment and, in many cases, complete refurbishment in order to bring them in line with Government standards.
The care quality gap is wider still in facilities specifically intended for dementia care, according to the Care Quality Commission (CQC). After a review of dementia care services in the UK, the governing organisation found an alarming inadequacy in how patients’ care needs are assessed and as such believe the UK has an “unacceptable gap” in the quality of care, which leaves people with dementia at risk of experiencing poor care as they move between care homes and hospitals.
At Select Portfolio, our care home investment opportunities have all been fully assessed to ensure they offer not only a lucrative opportunity for purchasers but also high-quality care for our loved ones.
We undertake a strict due diligence process whenever working alongside a developer to promote a care facility to ensure the properties we provide meet, and in many cases significantly exceed, Government standards of care. The progressive and forward-thinking facilities ensure the long-term success of the property and the investment.
Once operational, each care home investment we promote is managed by the developer, ensuring longevity and quality are at the heart of each and every development. This ongoing management model, combined with the unique lease-back structure, is designed to address and combat the challenges faced by traditional care facilities. This means that it is in the best interest of all parties to operate effectively in both the delivery of care and the management of the facilities.
In November 2015, one of our previous care home investment opportunities, Gilwood Lodge Care Centre underwent a full refurbishment in order to bring its facilities in line with the developer’s exceptional standards. This refurbishment included updates to private care rooms and bathing facilities, as well as the communal dining and garden area. A selection of ‘before and after’ shots from the refurbishment can be viewed here.
In the fifth and final part of our care home investment series, we’ll provide a detailed look at the care home investment opportunities that Select Portfolio has on offer, and how our unique investment model provides a fantastic opportunity for investors to make sizable long-term returns while supporting this vital UK sector.