Care Home Solicitors

Buying or selling a care home involves complex property, operational and regulatory issues. We guide clients through:

• Asset or share sales and purchases
• Due diligence on assets, title, leases, planning, and compliance matters (this generally includes reviewing title to the assets of the business, considering residents' contracts, block contracts with local authorities, confirming regulatory registration and assessing any regulatory and inspection issues and employee issues)
• Reviewing the title and carrying out searches on any properties involved in the transaction
• Advice on employment issues (TUPE, employment contracts, redundancies etc.)
• Transfer of commercial contracts
• Transfer of leasehold interests
• Landlord consents and leasehold negotiations
• CQC-related implications
• Sale and leaseback arrangements
• Funding, security and refinancing arrangements

Our integrated approach ensures seamless support across property, corporate and employment matters.

We work together with clients and relevant third parties to complete the transaction promptly, considering the intricacies of the deal.

We routinely work with clients to ensure that transactions align with CQC time frames.

We work closely with our care home clients and other professional advisors to assist with reorganisations of care home groups.

Working with tax and financial advisors, in addition to clients, ensures the most tax-efficient structure is implemented whilst also ensuring compliance with regulatory requirements.

Our Care Home Lawyers can proactively identify challenges and provide commercial solutions.

The care home sector often utilises bespoke funding structures. We advise care home providers on:

• Structuring loan arrangements and associated security packages, including the form of facility provided
• Development funding for the development of new care homes
• Acquisition funding to finance both single acquisitions and wider care home buy and build strategies
• Refinancing existing funding arrangements
• Negotiating loan facility agreements and associated security arrangements
• Refinance packages
• Restructuring to support growth or succession

We work closely with our corporate and real estate colleagues to ensure a smooth approach to banking arrangements.

Our commercial team are able to review and provide tailored service level agreements for residents of the care home industry.

Our commercial property team supports developers, operators and investors involved in care home, later living and supported living projects.

We advise on:

• Development agreements
• Site assembly and acquisition
• Planning, access and infrastructure
• Construction documentation
• Landlord and tenant matters
• Sale and leaseback arrangements
• Refinancing property portfolios
• Portfolio acquisitions
• Leasehold structures and leaseback terms
• Funding and refinancing
• Corporate structuring

This ensures clients receive coordinated support across both the operational business and the underlying real estate assets.

Our multi-disciplinary team ensures clients benefit from coordinated expertise across:

• Commercial Property: for the purchase, sale and letting of care home, later living and supported living properties
• Corporate: for business acquisitions and disposals
• Employment: for TUPE and staffing matters
• Property Litigation: for disputes involving leases, consents or possession
• Construction: for development and refurbishment projects

A full-service firm, we provide seamless support throughout the lifecycle of a care home business.

Transaction times vary depending on whether the deal is an asset sale or share sale, the complexity of the property title, the level of due diligence required, and whether funding arrangements are involved.

With an asset sale, the parties will need to notify the CQC prior to completion of the transaction.

The CQC process can take some time.

Most transactions take 16-20 weeks, but this can take longer if the buyer is not already registered with the CQC.

Purchasing a care home is a major investment and so it follows that the due diligence to be carried out is extensive. Completing thorough due diligence enables you to satisfy yourself that the care home has been run appropriately and also provides key information for you to consider the care home’s future prospects .

Our team of care home specialists take a joined-up approach to provide a full due diligence.

We work with clients to assess the level of due diligence required which would typically include reviews of:

• Legal ownership of shares and corporate history
• Title to the assets of the business (including any lease or hire purchase contracts)
• Residents' contracts and block contracts with local authorities
• Commercial contracts with suppliers
• Title, access and services
• Planning compliance
• Lease arrangements between owners and operators (if applicable)
• Statutory compliance (i.e. health and safety, asbestos management, fire safety, gas, electricity, legionella, radon and lifting equipment (LOLER) requirements)
• TUPE (if proceeding as an asset purchase)
• Employment contracts and general employment issues (i.e payroll, holiday pay, grievances and disciplinary records, right to work checks)
• CQC inspection history and outstanding actions
• Occupancy, safeguarding and resident agreements
• Historic claims or regulatory breaches

• Later living / retirement housing: Independent living accommodation for older adults.
• Extra-care housing: Self-contained apartments with optional on-site care services.
• Supported living: Independent accommodation paired with social care support for vulnerable adults (often commissioned by local authorities).

Each model has distinct regulatory, planning and operational obligations.

Yes. Care homes typically fall under Use Class C2, while retirement housing may fall under C3.
Supported living schemes can fall under C2, C3, C4 or Sui Generis depending on the level of care and nature of residence.

We advise developers from the outset to ensure the correct use class is secured.

Key considerations include:

• Site assembly and access rights
• Environmental and contamination risks
• Planning obligations and use class
• Construction contracts and professional appointments
• Design standards for care use
• Operator requirements for long-term viability
• Lender requirements for future funding

Early legal involvement helps avoid delays and build compliance into your project.

A sale and leaseback involve selling the care home property to an investor while the operator takes a long-term lease.
This model can:

• Release capital for the operator
• Provide stable long-term returns for the investor
• Support expansion or restructure of care home portfolios

We draft and negotiate the sale and lease documents to protect both parties.

Yes. We regularly advise on:

• Development funding
• Senior and mezzanine lending
• Refinance packages
• Security documents
• Lender due diligence

Care sector financing has unique requirements; we ensure your transaction meets them.

Yes. We act for:

• Operators (national and independent)
• Investors and funds
• Developers
• Housing associations
• Local authority partners

This broad sector experience gives us valuable insight into how each party negotiates and what constitutes a fair and commercially viable deal.

Yes. Our Property Litigation team can advise on:

• Developer disputes
• Landlord and tenant issues
• Rights of way and access disputes
• Dilapidation claims
• Contractual disputes
• Possession issues

We help resolve disputes quickly to minimise disruption to care services.