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10 Material Disclosures for ALFs

Writer's picture: ntjames5ntjames5

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The sale of an assisted living facility (ALF) usually involves the sale of real estate. When it does, in addition to the requirement to disclose material facts about the property, the surrounding properties, and the inability for a party to close the transaction, ALF have mandatory regulatory disclosures. Listed below is a list (but not exhaustive) of key regulatory matters. Note that regulatory requirements vary by jurisdiction. Check with your attorney for regulatory matters that pertain to your transaction.


  • Is the property or operation required to have any licenses or permits other than local business licenses?

  • Must the new owner personally qualify for any license or permit?

  • Are there any alleged violations or outstanding complaints filed or under investigation by authorities issuing licenses for permits from particular state, county, or local agencies?

  • Are there any pending zoning changes, redevelopment, or nearby construction that might affect the operation?

  • Is any employee or contractor currently working at the operation listed on the Health Care Personnel Registry?

  • Have you reviewed these facility reports:

    • approved fire and building safety inspection reports completed within the past 12 months

    • approved sanitation inspection report completed within the past 12 months

    • certificate of occupancy or certificate of compliance from local building officials upon completion of any construction or renovation

  • Reviewed a copy of the

    • State of County issued Operating License

    • Certificate of Need

    • current Policies and Procedures including those for Special Care Units

    • Special Care Unit license

    • Special Care Unit Disclosure Statement

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