Episode

Senior Living Operator of 28 Years With a Heart to Serve The Elderly With Nestor Eligio

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Hanh Brown: Today my guest is Nestor Eligio, a senior living operator for 28 years. A successful Executive Director for various Senior Living communities including Sunrise Senior living, MBK Senior living, Silverado, brook dale, and he was senior commissioner of Pasadena Summerville Senior living.Nestor has devoted his life in the senior living industry working in partnership with health care, Sales, Physician Relations, Business Management, Financial management, and Healthcare Management. We are blessed to have Nestor in thus industry with a hear to serve the elderly. Hey Nestor, Welcome and thank you for being here!

Nestor: I’ve always love to share about the senior living industry, so I’m excited about it as well.

Hanh Brown: Please share with us your journey of 28 years, story on how you got started in senior living as an operator.

Nestor: Yeah, so interesting story for me. I actually started a freshman in high school and so I was looking for a, for a part time job. I came from a, from a family where mom was a single mom, so I needed to, I was the oldest son, and I wanted a bicycle to go to school in high school and mom couldn’t afford it, so she said, if you can get half of the money and, I’ll, I’ll get the other half. And interesting enough, there was a retirement back then, in the early nineties. They used to call them retirement hotels, so there was a lot of hotels with the name retirement hotel and so across the street was one. And I walked in and asked if they were hiring and there was like three other people waiting to be interviewed that day and they were all high school kids and I knew a few of them.And they hired, most of us.It was, it was interesting. I always try, I always share this story where I was at the right place at the right time. One of the kids was playing the piano for the residents and they were loving it. He, he was talented kid, playing the piano, but his, it was his turn to go interview. And, when he was called, he said, he said something like, I will, I’ll be with you in a minute. And cause he wanted to finish playing the piano. And I guess the supervisor that was hiring and said, wow, you can’t even take directions. She looked at me and she said are you next? I said, yes. She goes, how to wash dishes? I said, yeah, of course. And so she said, you’re hired?

Hanh Brown: Whether or not you believe in luck, there’s something to be said for being in the right place at the right time.

Nestor: I got the job and he kept playing the piano and then obviously he knew if he didn’t get the job. So, I stayed at that community for about eight, nine years. During high school. I wasn’t sure what I wanted to do. Right. I was a kid trying to figure out life and didn’t have that, grandparents, I didn’t have that father figure. So the resonance at that time, that generation of residents like my family, they would encourage me to continue to go to school. They weren’t encouraged me to get my education and they would encourage me to move up within the community. So I started as a dishwasher, went in as waiter, then dining room supervisor, then breakfast, cook and then I set Bruns, I got closer to graduating high school.I wanted to be a caregiver. And went into that role, went into that role as a caregiver and then met technician, which was a key part of the element. And, and at that time, helping the residents with their medication management. And then went off from there was able to master a little bit of everything within the community and not feel afraid of it. And again, always had the support of the residents. I think without them I probably wouldn’t be where I’m sitting at today as a, as an executive director and operator. So that’s where I’m at. And the rest is history. I did the sales and marketing for 10 years and was involved in that and was successful at it. And then got the opportunity to sit as the operator at a community in Pasadena. And, and then from there that was it. I, I’ve been doing now as executive director for a little bit over seven years now, so it’s been good.

Hanh Brown: The well-being of our parents is our ultimate wish as they age and live out the last years of their lives. In caring for your parents, what I mean is caring for their emotional, mental, and physical well-being. As much as you may appreciate the communities and the services that it comes with, you shouldn’t let the presence of a caregiver take your place in the lives of your aging parents.

Nestor: Absolutely. I think that was, that was a key component of the time and that’s, that’s probably the signs of the times now that we’re facing challenging times with, hiring, new staff, and then it’s a, a revolving door. I think the industry knows that it’s, it’s, it’s a hard thing to find the right person that has, that, that heart and compassion for the elderly. Again, I can tell you when I started in that field and back in the early nineties, there are still a handful of friends that got in that field and are still in the field and they’re still passionate for what they do. And we weren’t the best kids in high school, but we kept our noses clean and we were able to continue based on what our residents were telling us to do. And their stories and, they lived history. So hearing their stories would make us even more, humble at what they went through at that community I worked at, particularly it was an all Jewish community, so I had a lot of Holocaust survivors, so they would share their stories and, so I have to be, I was very humbled by them, so, yeah.

Hanh Brown: What significant changes have you seen in this industry over the years?

Nestor: Well, two things I have seen that has definitely changed within the decade that I, that I was starting in. One is the ad that I will go back a little bit as we talked about, hiring employees, and the team that would come in with a passion. Definitely that’s been a challenge that there’s a different generation that’s coming in and supporting our residents that need a lot of validation, but at the same time growth, right? Everybody wants to grow. And I think at a pace you can grow. and so where I’m seeing that as a, as a challenge. I S I do see there’s so many operators in one area that there might be multiple staff members working in multiple places at the same time. So, so we are all, we’re all sharing caregivers, which is good and it can be a challenge as well for, for our residents.So operators that have key programs for their hiring process, our key benefits, and everything else. I think we’re all at an, at a, at a common goal where what we give our employees. But there’s more than that, daycare programs for their children or the ability to be able to bring their, their children to the community and, and have intergenerational programs for the residents. I think those are key little elements that make a huge difference to retain employees. I think that’s it’s going to be key moving forward. The other thing that I saw in my time that’s changed within the last, yeah, definitely 28 years. There’s a higher acuity for sure. I totally remember going into work at a young age and hardly seen wheelchairs and walkers in our communities.

It was not something that we were even, we would see. Most of our residents were very active. I could tell you as a medical technician back in those days, the medications were, that were prescribed to our, our elderly were very few. There was a lot of medications that we would get directly prescribed a lot of over the counter stuff, multivitamins and things like that. But now we’re seeing a huge increase on, on the prescribed medications from the physicians, which is again, it changes the acuity of the, of the community. There’s a higher need and care, residents coming in with more, activities of daily living that definitely is needed in assisted living. So, and I think that’s where the word started coming. Right? So as I said, when I started, we, I would hear things like retirement hotel and then the word assisted living came in place. Right after, I think, it was something that was it was embraced. So we knew that assisted living was, was a game changer there. And, and now that’s where we’re doing. We’re assisting our, our residents while they’re reciting with us. That’s what I’ve seen is as far as changes, there’s a big demand for dementia communities, memory care neighborhoods. What Reno, that’s something we didn’t have in the, in those times we weren’t even aware if those behaviors were normal or what they were. But now with all the education and, and dementia and Alzheimer’s, I think it’s, I think we’re a little bit more ahead of the game on what, how to provide care for someone that’s going through that challenge in life.

Hanh Brown: Look at your elderly parent’s needs and then assess at all the possible solutions to get them the help they need. Daily living requirements are: Self-feeding, Moving while performing activities, getting in and out of bed, in and out of a chair. Dressing, Bathing or Showering, Personal Hygiene, Toilet Hygiene. What forward feedback do you want to share with developers in designing and constructing new senior living?

Nestor: And I think it’s really depends on the area, what they’re developing. Obviously rural areas. There’s a lot of space, a lot of common space to be shared, in inner city or a city wide programs or communities that are being developed, three floors and up. They’re limited in space. So they’re building common areas within the community. I think one of the key things, and we’re seeing it now, I’ve been seeing this in the last five, six years. I, I ran communities in Arizona and I ran communities here in California and I’m seeing a bigger, family involvement. I’m seeing grandkids involved. I see more younger generation coming, visiting their grandparents. I think that’s so neat seeing that. And so we, that’s our, our audience. Not only is it our new potential administrators, operators, developers, they, there’s gotta be something we can build in communities where, a computer lab for the kids to come in or a game area where the grandkids can come play a play area for toddlers all the way up to six, seven year olds a while granddad and their parents are watching them play. I mean, something like that, you’d go to the mall for that stuff. I have two twins, five-year-olds, and are escaped from my wife. And I is like, let’s go to the mall, let’s go shopping. And then we’ll take the kids to play in the playground and you see grandparents sitting there with their kids. So those are little things that I think are important. Family spaces is, is great. Most of the beautiful communities that open up that are five stars, will have these beautiful lushes lounges and you won’t see them being used a lot occasionally for an event or something like that. But, but I, I think we’ve got to go back to, to the, to our beginnings where it’s, it’s a family. It should be a family oriented community. So, and breaking the myth, right? Think, my kids, I have two different generations of children in my, my life, my five year old twins and my 24 and 22 year old son, they stopped two different things and I think they would, they would appreciate that, that kind of a play centers and, things that, that are inviting for them as well. I think, that, that’s our crowd as well.

Hanh Brown: What is a typical day for you as an operator?

Nestor: So a typical day for me as an operator there, there’s a nontypical, but I can tell you, at most of the organizations I’ve worked at, there’s, there’s a routine standup where we meet with the managers of the team of the day and discuss what the day is going to look like, how it went last night. Talk about new residents that have just moved in to, to see how their night went, if there was any, any adjustments that we needed to do. Or if they’re adjusting well, what was the feedback? So that’s our game plan at the beginning. We all huddle up and that’s what it is. It says, stand up. Most companies do embrace that and it’s a standup, we’re all standing for 15, 20 minutes, and discuss how the game plan is gonna work for the day. Who’s having challenges with departments are, are, needing more support and, um, and sort of that leads to what the day’s gonna look like. Either marketing events, family concerns, employee concerns, and then corporate meetings, which are necessary. So we know exactly what’s happening at the corporate and then making sure that we make time to spend with our residents. So, we can’t have meetings all day and then totally forget about the residents. So, I make it a schedule for my managers team at any community that we all take an assignment in the dining room, either pass, passing coffee or supporting the kitchen. So that’s really ground zero for us is being in the dining room. Cause we hear it all. Hey, do you know our residents will tell us first firsthand.

I noticed, Ms. Jones is not feeling good this morning. And so that’s key for us. Or they’ll say, Hey, last night’s event was a success. It was an amazing happy hour and we enjoyed it. Can you bring that entertainer back? So there’s, that’s the best place to be. So we, we make sure we assign our managers for that. I also have something we call once a month. We, each manager picks, an activity of choice that they feel comfortable with doing with the residents. So for me, I love doing a food show. So I’ll do like a, a food show for our residents and, and do my, my favorite dish with them. And they get to see me do it from scratch to the beginning. And so it’s pretty cool. I’ve had maintenance directors that’ll do which shop with them or break down a carburetor.And then there you have like six, seven gentleman around fixing a carburetor, which is pretty neat and then you have the ladies doing, either painting classes and why not offer wine too? I mean, it’s, it has to be a cool environment. So we’ve, we’ve seen that with our managers. So we, we, that’s what the day looks like then the unexpected days, right, where state walks in or there’s an actual complaint or there’s any lope man where residents attempted to leave the community. Those are days that we, we [inaudible] we are, we don’t predict. And so I could change obviously every day but for the most part, there’s, there’s always good days.

Hanh Brown: Within the states that you’ve worked in, please share some government and medical regulations that an assisted living must comply.

Nestor: Yeah, so for, for us in California, I’m, I can talk a little bit about Arizona as well, but I think overall, is the process of admission, ensuring that we’re, we’re caring for the, so the resident requires the right care and I’m talking about the difference between, skilled nursing or rehabilitation versus assisted living or memory care neighborhood. So we define those. Then we can actually do a better assessment of the resident moving into our community. So the state, we, if we get into situations where we are bringing someone that requires 24 hour, nurses on staff and injections and Ivy treatments, then we’re probably not the best place. So we need to make sure we’re following regulations to, to what it allows us to care for it or at our communities. And, secondly, I think they audit everything from, employee fingerprints, training. there’s a requirement of training for our care, staff, that’s done yearly and part of it in California requires dementia training as well. So, that, that’s key training is good. The, the possibilities of how to train someone are endless. You can do a computer training or you can do a classroom setting or you can do a one on one training. It is good to see and a lot of companies have different approaches, but for the most part it is a requirement here in California. Yeah. And they’ll audit everything from a medication carts. Recently in California we had to do the Evoque chairs, which is the evacuation chairs for the recent fires we’ve had, that we can get residents that are non-ambulatory out of the community faster.

So, those are requirements that every community in California, should be up to, up to, up to a standard now. And so it, there’s always regulations changing and state, some States are different than others. Some States combine it with the department of health services. Here in California, it’s community care licensing Arizona as well. And so we have our manuals. We follow title 22 here and every state has different regulations, article eight in Arizona. And so there specific things there. But here’s the key thing. When, wallowing States specific guidelines is working well with the license for us as the LPA, and the state. So having a good open communication relationship, I think for me, what’s made my success is that I’m any community I arrive to or I become part of I’d make a courtesy call to the, director of licensing are the LPA and introduced myself because they’re my advisors as well. There might be a challenging, situation in our community and they’re the ones that might be able to give me a little bit more information on what to do versus me trying to figure it out and making a mistake and then paying the consequences. So I always recommend that every time I, I mentor someone that’s going to become an ed or someone that has been in the industry and asked me, I say, have you called your state representative or your licensing agent and, and talk to them. So it should not be anything that anyone should be afraid. It should be a good mutual respect relationship because if we’re both out for the same thing and as taking care of the senior, the elderly population.

Hanh Brown: How do families gain trust in you and your team to place their loved ones under your care?

Nestor: Yeah, I think very important that we understand that anyone walking into the community obviously is seeking help. If there. I used to have a vice president of sales and marketing and they’d always say, people don’t go on the weekends or during the week, senior living shopping. It’s not something that people do for the future. It is always something that’s going on at home. And so we, we need to have some empathy obviously when they’re coming in. Understanding what the situation as, what benefits we can offer in our community that would resolve those concerns. And so for, for me and my team, every team that I work with, I always tell them we have to hear their story first. We have to know, we have to put ourselves in their shoes. And so the way I, I love to win trust, and this is a perfect example. I had a wonderful tour last night at my property, at the community I am at. And it was five 30 in the afternoon and, they wanted a tour. And if I’m here or whoever’s here, we’re gonna give them a tour. We took a long time discussing an, about the needs of their loved one. And I made them feel comfortable. I understood, I shared stories of similar situations.I shared some of the benefits that we had available. And all along I kept asking, how many communities have you seen? And they would, they would say five. And I was like, Oh my God, you must be very confused by now because five or six communities is just a lot. It’s a lot of information that you’re being thrown at in every community.

Although we might have the same thing that we offer, which is assisted living. We are, are all different. We’re all have some something key element that might be good for your, for your loved one. I’m not quick to ask for a deposit. You can tell if they’re we’re building that trust that the deposit will come immediately or they want to hold the room or the reservation. So two and a half hours in the conversation, we had built a great relationship, I’m a Rotarian. They, I’m the son of this person that was looking at our and was a Rotarian. So we combined some of our interests as well. I talked a little bit about my background and I’ve gone through, personally in my life, with a loved one that had to be in assisted living and was able to win their trust. We are scheduled to do a, an assessment in the next couple of weeks. and if we’re a good fit for their loved one, they’ll be joining our family here.

Hanh Brown: What questions should families ask they are researching for independent living for their loved ones?

Nestor: Yeah, I think, I always start off by, when I hear a family members say this is gonna sound like not a, not an inappropriate question to ask, but I need to know. And I always say, there isn’t a question that you can, if you, if you feel that you can’t ask this question, then there’s probably something that we’re missing. So we need every piece of information you give us too, so we can all make the right decision. I had a son and a community in Arizona that had asked me a question about pets. And he said, do you accept a cat? And I said, yes. We’re a pet friendly community and, and that’s not an issue. And then he said, well, do you accept 10 cats? Cause his, his father, wanted all his cats. And so I said, well, let’s talk about it. And so, I that that was key. I didn’t say no. I said, let’s talk about it and tell me a little bit more about these cats. Tell me a little bit more about why, why dad needs all 10 of them and, and tell me what’s his favorite. And then we came down through, there were two cats that take, took care of and they couldn’t live without. So it, it’s again a piece of the conversation. That we, that we have to have, asking questions, reviewing a state websites for any deficiencies. I’m going to be the first to admit. And I’m an a and I, and I think hopefully colleagues out there will, will understand, we’re not perfect.

There might be deficiencies in a community you walk into, that are repetitive. And so as an executive director, if I’m new and I see those repetitive, violations, that’s probably the first thing I’m going to be looking at to see if it’s a medication error that’s consistently happening. Three months, then there’s gotta be some training opportunities. Is it something that we need to fix? So looking at the state, inspections are important. I believe most States do post them. They’re public information. State of California does post them. It’s key. and then going with an open mind and discussing those things as you are visiting the communities and saying, can you tell me a little bit about this incident? Is this something that was fixed? It was this something that was taken care of and then also looking at the ones that are great. I’ve also have great communities where we do zero deficiencies and it’s 100% and as an administrator we’re, we’re thankful for that. But we also know we have things to improve, right? We’re, we’re running day by day operations. So we see, Hey, we can fix this a little bit better because we could’ve got dang for this, but we didn’t. And so, making sure that we also celebrate the moments we do. We don’t. So, there’s questions on staff ratio. What is your staff ratio? Every company has different, ways of explaining that. I think the higher the acuity, the higher the need, the more staff, the lesser of the acuity, the lesser the need, obviously less staff. I think it’s simple that’s great. And then talking about the, the meals and the programs and all that is, is, is key. So, bring as many questions and, and making sure that it’s not a, the standard question or a standard answer I should say. If it sounds too standard then, then everybody’s heard the same answer and they’re really not listening at that point.

Hanh Brown: What do you see as far as the evolution of changes in the residences coming in as independent care then later moving to dementia care?

Nestor: The air? I think you said, you shared a little bit about your story about your siblings and you, you guys are all asking questions. I think, I think we’re seeing a lot of interaction with a lot of different families and everybody has different, different opinions of how to take care of mom, how to take care of dad. I think that’s, a battle within itself within the families, personally myself as well. I, had to deal with that with my mom and as we found a location for her as well. So my sister and my brother, we all had different ideas of what was best for her. But I’m the expert. I’ve been doing it for 28 years. But I’ll tell you when you do it for your own loved one, it’s also hard. And I might not be the expert. So I asked to humble myself again on, on situations like that of the evolution, that I’m seeing, it’s great to see communities that are being built that are similar to CCRC is a continuum of care where they can offer all those options, the independent living and then as they start aging in place, they can move into assisted living. And then, if the progression of the disease is getting more severe, then you have the option of the, of the dementia neighborhood or the unit. So those are key components, in a saturated market when you have multiple competitors within an area. I think it’d, it becomes more of who’s providing customer service, who’s providing the best customer service, because I can go down the street and pay the same amount and probably receive better customer service than at a location where they’re not even, they don’t even know my mom by name, something like that.

So there’s a different evolution of people being able to look at Yelp and being able to look at Google and looking at those kinds of things as well to determine if they would go to the next place. I, I, I’ve, I’ve had interesting families that have come to my communities and said, well, this will be the third community I moved to and I think that’s a red flag. You want to ask what’s happened to the last two? Or what did they do that didn’t meet your needs to make sure that you don’t go through the fourth or third community. And so, we all want census. We all want to have 100% occupancy. That is, I think, ultimately everybody’s goal in business on the business side of it, on the business side of it. But also, is it a red flag? Are we, are the customers looking at discounts or is there something that the competitor is giving that it’s financially more suitable for them?, that’s the evolution that’s going on now. Now what, what is the market? How, how much is the market going to be able to hold?

Hanh Brown: When going through it for my mom, we looked at the location. Location is key; typically elders would like to be near family, near doctors and a major hospital; some might prefer a location central to shopping and entertainment. Some may want to be near children and grandchildren. With regard to living space, you may want an extra bedroom for a guest or desire a kitchenette or patio for entertaining. Then you have to consider the amenities and activities that that you have fun with such as pools, movie theaters, art studios, putting greens and on-site cafes, salons and bars. When visiting the community, you will want to see the contract that details all the fees, rules and regulations? How are services billed? Can I continue to see my own physicians? Can I have a pet and my own furniture? Can I come and go as I please? Are any activities prohibited in private rooms or apartments? What training and background checks are required of staff? Is there a registered nurse or other medical professional available at all times? What happens if I run out of money? Do you participate in Medicare, Medicaid, VA Aid and Assistance, long-term care insurance or any other payment program? What circumstances would force a resident to move out of the facility? If I require a higher level of care in the future, is that available at this community? If I have a long-term stay in a hospital or rehabilitation facility, do you hold my residence? And so forth.

Nestor: Yeah. And I think that goes back into leading into asking those critical questions because, you’ll still end up going to, to, to meet the team to meet the people, and you, and I think, at the end of the day, it’s, it’s not the structure that we’re looking. It might be beautiful, gorgeous a community, but it’s who is in there, who is taking care of them, the interactions they hear, the, the, the laughing, the ambiance. I can tell you multiple times, and I’m sure a lot of executive directors and operators will agree when they hear someone leaving and said, I don’t know about your community, but I, I have that feeling that it’s I don’t know what I felt, but it’s, it’s, it’s a feeling that everybody cares. And when you hear things like that, you’re like, wow, it’s, it’s the synergy that we’re giving so people can feel comfortable coming to our community and again, I’ve, there’s different operators running different, their communities. Some communities, if an operator’s having a bad day or something’s going on within the community, changes in management, you can feel it. You can feel this team either feeling down or, or not feeling 100%. So that those energy moments, residents feel them, our residents start feeling like, okay, something’s going on. Administrators gone or this person’s gone. And so they start feeling a little bit like now I’m nervous. it’s their home and things are changing and so those are going to be what makes differentiate a lot of us.

Hanh Brown: What do you see you see as synergy between the loved ones? Are they getting out of their room to engage with the staff and are the families coming to see them? Over the 28 years, what trend do you see?

Nestor: Yeah. I, in my early years, I would hardly see family, to be honest, when I was working as a caregiver, I, I wouldn’t see a lot of families visiting when I’m there. And I’m talking, I’m mid nineties and here’s the other reason why most of my residents were still active enough to get in their car and drive and visit their children. So we’re seeing a different, again as this is a different, more higher acuity, that’s being needed now in our community. So, the interactions now we do, I do see a lot of families visiting, grandchildren, kids from college visiting their grandparents, a lot of intergenerational, families, a great grandkids visiting from college. So it’s, it’s neat to see those things because, at a previous community, that was the moment that w the, the resident wanted to introduce us to everyone. So the grandkids that’s in town and they’re like, you’ve got to meet my granddaughter nester. She graduated from the university of so-and-so. And, and she’s thinking of going in geriatric care and can, can she spent some time with you and you tell her. And I’m like, Oh my God, I would love to. So [inaudible] they showcasing their family to us and, and then I would turn around and say, have you, how do you like your, your grandparents’ home? And they were like, wow, it’s great. It has a pool, has a walking area. The dining is awesome. I mean, I can imagine having this at the door or at college dorm. So it’s good to see those, those interactions. You are absolutely right. There’s always, probably a daughter that’s more involved, in the process of their loved one living in the community. So there’s a lot of connection with it. I’ve, I don’t know how many, families I’m still connected with to this date that I no longer at the community, but they’re, they can reach out to me if they have a question or, or if they have a concern or if they have an update for me and say, Hey, guess what mom is here now. And, it’s, it’s neat to see that and to build that relationship with them as well.

Hanh Brown: Yes, my siblings come daily to feed, bathe and spend time a few hours a day with my mom. We stay and enjoy her company and often we leave crying.

Nestor: And, and I see that a lot. There’s definitely daily family visits. There’s definitely a daughter visiting or a son in the afternoon after work visiting. I, I see that a lot. And, and the other key thing is that we’re also interacting with them. How are you doing? How are you feeling? And we tend to forget that we’re all in caring for, for our resident. But in reality, we’re caring for the whole family. So I don’t know how many times I’ve taken out a sun out and when I can see in his face, he’s mom can recognize him anymore and he’s having a hard time. And I’ll be like, Hey, what are you doing after? when you, when you’re finished here, let’s go, let’s go have dinner. Let’s go talk. And I’ve done that a couple of times and, and it benefits me because I can share my story of what is going on with my mom and then we should share stories and we have to be able to also lift the children up and the grandkids and everybody, we have to be able to do that. And not imagine that, OK, it’s only the resident, but the whole resident and the resident’s family that we’re taking care of.

Hanh Brown: What standards do you hold when hiring your staff?

Nestor: So we, we one particular community I, and we allow them before, to be interviewed by group interview, which would be the managers. So we would do group interviews together. I’ll ask key questions and components about caregiving, caregiving and burnout or the reason of joining this industry. Tap into the purpose of, of what they’re here for. I’ve had, [inaudible] candidates tell me I need a paycheck. When people tell me that, I normally tend to say, well, now there’s other options, but not here. You have to have some compassion and some willingness. I, I, I’ve heard people in the industry say, well, I’m only going to hire people that have done this, field for three years. Well, I tell them good luck because you’re not going to find them. They’re either still working at their communities. So we have to give people an opportunity to get in our field and we got to educate them. So I’m a bit proponent in going to the universities and going to colleges and high schools at the early stages and talking to two kids that are going in the workforce about all the opportunities that they’re in, in a community, from dietary to housekeeping, to front desk, to driver to activities director. There’s so many different opportunities. And so making it a more of a, Oh, that’s pretty, pretty interesting career versus it’s a job. So we do group interviews. We also allow them when we do feel, Hey, this, this particular candidate, set some key things that are, that are based on our, our core values or principles of service, or belief of, of what our mission is in the company. We allow them to come maybe for an hour or two hours to observe our care staff or to observe the dietary or to observe depending on the department. So they can actually see how it actually functions. I can tell you that it’s better to do that then, then get them started, go through the process of fingerprint, is it gold TB tests and then their onboarding and then them exiting quicker back into the field because they don’t think they can handle it. It’s better to just show them this is what we do on a daily basis. There’s wonderful days and then there’s days that we need to all put together and work as a team. And so, that, that makes the difference when we’re doing that.

Hanh Brown: Is there a need for more senior living and if yes, what would you like to see incorporated?

Nestor: Yeah, there’s, I’ve always said that even in the, in, in my Dale’s as a, in my days as a sales and marketing, I would always say there’s, there’s, there’s not enough places, although in, in city areas, you see, you cross the street, there’s another, assisted living. And I, and I hate using the word competitors cause we’re, we’re all, we can all work in union. We can probably fill our communities, a little bit better, but there’s definitely a big need. There’s definitely a need more for, dementia neighborhoods and memory care. I think in the early, late nineties and early two thousands of opera for developers started seeing that need and started developing those, the wings, the units or the neighborhoods on, 20 beds, 30 beds, some communities took it further and made the whole entire community, early stage to later stage dementia. And so they did let, did that, the lady Greg system. So it, and, and now we’re discovered that dementia is an umbrella of different things that are going on. And this is just not Alzheimer’s or Lewy body or Parkinson’s. You have TBIs, traumatic brain injuries, you have other things that are going on, depression. So there’s, there’s a huge need, for, for those, memory care neighborhoods for sure. I would love to see incorporated is the different generation that’s coming in. So we talk about the baby boomer generation. And so, and I, and I, before I was an executive director, I would hear my directors tell me, well, the baby boomer generation is around the corner. Well, that was like 10 years ago. I kept hearing that, listen, the, the, that generation will come in, but it’s the, the bingo is not going to keep them here.

The sing along is, is not going to be the key thing for them. The, the, the dining might need to be different. I know of a developer, that created something out of state that I was totally in. I was like, that’s so cool. He created a, a microbrewery, with a, like a bar, style at his community. And he looked at the, found the locals, that crew, that brewers in the area. And so he invited a lot of, of the, residents to participate in this. And I think I’m 90% of his, residents that move in at the community. We’re all, because they were locals. So they, they love to having a glass of beer or a glass of wine. And so creating that environment, there’s a lot of operators that are, are doing a little more modernization of it.Pizza break ovens in the middle of the dining room where you can have that fragrance of a, of a restaurant. Those are, those are key. Those are going to bring a different type of resident in the community that might be a little more active, but this looking at the future in case they need assisted care. So those are, those are, that’s the way we’re going. Independent living, it looks like independent living is going to be independent living. I see operators of separating themselves from AOL or in memory care and focusing on, more of a hospitality hotel type setting. And that’s key too. There’s people that are going to be looking for that kind of environment. Instead of the bingo night. It’s going to be comedy night at, the Bray improv or, or having comedians coming in,or talk on different topics versus healthcare. It might be more of a, we’re going to talk about the JPL. I’ve had JPL come to a few of my communities and talk about things that they’re doing, in outer space. So more fun, more, more creative. Marketing is going to be key.

Hanh Brown: I really, really enjoy our conversation. A key component to be successful in this profession, you must have a heart to serve the seniors and their families. And I see why you’re very good at what you do. So congrats.

Nestor: I appreciate that. I appreciate it. And I thank you for allowing me to speak and share a little bit about my passion, and shedding light on it as well, to developers. I think there’s some great developers out there. There’s some great operators. And I think it’s, there’s some great associations out there in the East coast and here in Southern California and the West area. So coming together I think is it’s good. So thank you.

Hanh Brown: Thanks you so much Nestor, look forward to having you back again and meeting up with you when I am in California !

Real Estate Development Is a Bit Like War Planning With Ian Jones

Ian Jones Real Estate Developer President of Bgigroup; Development is a Bit Like War planning

The How To’s Of Senior Housing Development With Boone Nerren

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The number of Americans 65 and older will increase from 47.8 million in 2015 to 79.2 million by 2035, due to the emergence of Baby Boomers into the age of retirement. Such a vast increase only creates a greater demand for Senior Living Facilities.

Show Notes:

Hanh Brown: Today, my guest is Boone Nerren. Boone is a Real Estate Developer and has constructed, developed, and completed 5 full cycles of Senior Housing Communities. Boone helps investors find opportunities outside of the stock market that provides double-digit returns with minimized risk. He is the president of the AMZ Equity Partners. As an independent investment company, AMZ is free of being bound to a limited set of offerings provided by any one company. This allows Boone to identify and offer the best available projects in multiple investment categories.

Hanh Brown: Good morning Boone, good to have you here, how are you doing?

Boone Nerren: Hi, I’m good. How are you doing?

Hanh Brown: Thank you for your time to be here and sharing with us your story.

Boone Nerren: I’m happy to do it. So thank you for the invitation.

Hanh Brown: The last time we spoke, you and your wife were getting ready to visit your college kids between Oklahoma State and University of Texas. How was your trip?

Boone Nerren: We split the trip into two parts because we had my wife and son go up, our other son needed to stay home and work. And then this weekend I am connecting with my daughter for the father’s half of the trip, which will be an Austin because her school, Oklahoma state plays a, the University of Texas this weekend. She wanted to go to Austin. So this weekend is my weekend. So two weekends ago was my wife’s weekend with her.

Hanh Brown: It is that time of the year that we move our college kids back, enjoy some college football games with them. How is the family doing?

Boone Nerren: Our son is taking kind of a gap semester. He wants to switch to the University of Arkansas and he’s taken a couple of classes at the community college and working to build his own funds back up cause he likes, well, he likes to have you know, and we’re happy to provide room and board. We don’t pay for concert tickets and road trips and, and other more frivolous items. And so he’s saving up, they’re his own money and he’s way ahead on his hours. So he’s in good shape to, to make that switch. So he’s staying with us at least this semester.

Hanh Brown: It is nice to have them near because soon enough upon graduation, their jobs may take them to another state.

Boone Nerren: We’re happy to have it because we know we’re not going to have our daughter around much more at all. She’ll, she’s graduating with a, a, a special needs therapy degree and she will be off working and living somewhere other than home fairly quickly. So her degrees and they hide the man filled. And so we think she’ll probably be relocating here fairly quickly, but so we cherish the time we’d have when we get them. And if we’ve got our son for an extra semester. Looks Great.

Hanh Brown: Please share us your journey on how you got started in the senior housing industry.

Boone Nerren: Yes. I have been investing in real estate for about 10 or 12 years at the time. I’m an ambassador at the North Dallas Chamber of Commerce. Approached me and said he had a gentleman

Boone Nerren: who owned some land and it was part of the legacy family for a master plant and development out in northeast Texas. And they had some land remaining and they wanted to find a development group to build the senior living community there. And they felt that that was kind of the missing piece to their overall master community. And so we began a conversation and I had not previously done anything in senior living. So I began to just kind of searched through my contacts and, and get referrals from a couple of developers that I knew and put together an initial team to have a consultation. And it led to what proved to be a feasible project. And so from seven years ago to today, we’re bringing projects three full four and five along.

Hanh Brown: Congratulations! Networking, building a team of strong individuals, to take a project from conception to its full fruition, is huge and is a blessing. So, tell us about your recent development.

Boone Nerren: Yes. a land broker, a commercial broker that I know knew of this interest several years ago that was developing in senior living and say the found the site, it was actually tagged as a potential for senior living. The owner had a group that, that initially looked at it and did some preliminary pre development effort on it and site planning and market study and showed that there was feasibility for senior living community. But this was 2014 and the recession was still, we were still coming out of it in the commercial world and they couldn’t pull it together at that time. So it’s up there. And then I was introduced to it and what down, take a look at it. And from there it just progressed to purchasing the land and everything continued to proof up in terms of its feasibility market, the man pricing, construction costs. And so we began the project in 2017. We completed it and 2019. And we’ve been, we’re not all on Lisa mode. Project was opened in May and now here in September, we’re about 35% lease stuff with the expectation that early 2020, we’ll be cashflow positive and begin making distributions.

Hanh Brown: Do you have an institutional operator to run the facility and do everything from marketing and lease up.
Boone Nerren: Yes. and what is commonly done in this level of facility? There’s an 84 a room facility with the assisted living and memory care is that you have a recognized institutional operator run the facility and that’s everything from marketing and lease up through resident services from top to bottom that I do all of the service and effort on the operations. And so that company, he has a very robust marketing effort, can plan and strategy that they implement to get that Lisa done as soon as possible.

Hanh Brown: What is your role in the development and to what capacity do you participate in the project?

Boone Nerren: Well, I’m on the development and sponsor side. Oftentimes things are very fee Evie and feed based and sponsors are out trying to put together the bill and have a promote fee and other things that are there. And, and every development project I’m aware of or at least 98% of them have that structure to them, but I’m in first hand with the capital. So the first check that’s written is typically out of my bank account. And then I continue to capitalize the seed money to see if the project is feasible. So the first money in it, my own money and then secondly I’ll serve as the guarantor it, so that ties me to the project from beginning all the way through the end, which on our project that opened in May, I’m in asset management mode because I’ve still got a sizable guarantor liability that is assigned to me. That doesn’t go away until we sell it profitably. So I am obviously very highly motivated from start to finish to complete the project as successfully as possible. And not all developers or sponsors have that level of commitment and participation in a project.

Hanh Brown:
Locate and negotiate the purchase of the property.Perform initial legal and tax diligence. Obtaining bank financing.Manage the affairs of the partnership. Arrange for management of the property. Communicate with the investors. Make day to-day operating decisions, and Negotiate the final disposition of the property.

Boone Nerren: Yes. Yeah. So the. Now it might not end up being a significant amount of the capital when you combine everything that’s done because this project we opened in May,

Boone Nerren: The villages of Windcrest in Fredericksburg, Texas. I was a 21 and a half million dollar project and we did get a 70, 30 at an equity, but that’s still, that was still about 6.3 million in equity. Well, my portion of the equity was about the 0.3. And then institutionally, once we got it put together we had a senior equity company that brought in the lion’s share of the equity. So I don’t want to miss represent that. I’m basically funding that all myself. But all the initial seed capital is something I’ve put the on and bring together. And then at the appropriate time we’ll begin the conversations with senior equity sources and bring them in to participate in the project.

Hanh Brown: What make your team so successful?

Boone Nerren: You know, it’s a group of proven industry leaders. So the one thing I knew when I had started in senior living is that I knew nothing and I needed to surround myself with people who did and experts. And so I sought out not just the cheapest or friends of friends, referrals, but those who were recognized in the industry as industry leaders. We have selected the two the letter d and number two architects as our design architect firm they’re based in Dallas, have about 30 architects on their staff and focus almost exclusively on senior living. So they’ve developed a good reputation and have an excellent track record. And so we added them to the team. And from there, our GC is on a bid process each time. And so we don’t just award the contract before there’s even bidding on the GC.

Boone Nerren: So each project then goes through a GC bidding structure and oftentimes because of the nature and the geography, the, the GC changes when you’re building in central Texas or you’re building that in northeast Texas you’re often get a different sub base and a different GC that can bring better efficiencies to it. But we still have our gcs go through a, a strong vetting process. There is a requirement package that we send out to each of them and they must be bonded. They must be able to bond the project to ensure its completion. And they have to have certain track record and other metrics, staff things back out the support as well in order to qualify. And then from there we pick the one who can bring together the project, shows the greatest vision and a probability of delivering the project on time and on budget.

Boone Nerren: So the GC often changes. And then a sub is almost always local, right? Cause you’re using civils who know the terrain and who know the local city structure and know the ins and outs of local civil construction. So we often also have a different civil at each site, although we have used we have had repeat civils engineers on projects. But that’s another thing that we often ended up using someone local. And then the last piece of courses, spa, conserve and guarantors. And that’s what I bring to the table. And of course that’s consistent in each of them. So I will always serve as a sponsor and a guarantor to provide that commitment to the project as well as provide that skin in the game that you know, allows me to bring some value that hopefully gives investors confidence that I’ve got a lot to protect in the project and to make sure it comes together as successfully as possible from the early structuring and these early design phases all the way through construction. When the GC and the architect role law I’m still in the project and asset management mode is we work with the operations company to lease it up and then ultimately to sell it. So that keeps me in is really the one party that’s involved from the very beginning all the way through the end. And I’ve got contingent liability right up until we sell and make distributions.

Hanh Brown: Is your construction team a GP in the deal or are they a fee based?

Boone Nerren: That’s right. They’re fee based contractors. The architect is a fee based contractor, the operators, a fee based operator. So each of these are fee based components that do not have ownership. So the ownership is all split up amongst oh, the sponsor and then the any other early equity partner and you have a handful of investors who have participated with me or invested with me for over 10 years that liked to participate early on in and have a carried interest in the project as well. But the primary bulk of the ownership is senior equity. And when we drop in that part and have that commitment, we don’t bring our senior equity in until we close in the construction. So all the rest of the chase and seed capital, it’s necessary comes from the sponsor in and when we have it identified and shaped up and we have our permits and our construction drawings completed and we’re ready to break ground, that’s when we’ll bring in our senior equity piece. And so they have a shorter time in the project and they have greater surety of their money being protected because at this point it’s ready to go. The GC is bonded. The likelihood of the completion of the project is very strong. And so that helps bring more security to the senior equity capital that comes in.

Hanh Brown: Let’s touch on the financing; The type of financing is contingent to the level of experience of the team, operator, construction, and so forth. Did you work with a local bank?

Boone Nerren: We always include local banks in the process because they can be a very attractive source of financing and they have a lot of local interest in the community. And so become tied to the project in a way that’s, that we find is helpful. And of course the interest rates in all tend to be the lowest when you’re using a local bank. The, the blowers are agency loans. So if you can get a HUD or USPA or if it qualifies even now for the opportunities zone structuring, there’s debt agency and debt financing there, that’s even more attractive. Now, some of those have like an opportunities zone. You don’t maximize your full benefit until you held the project for 10 years. And of course at that point if you do that, you don’t have a capital gains when you sell it.

Boone Nerren: So that’s become a much more attractive way. And we are looking at using opportunities zones as we move forward. And this is just something that’s come together in the last couple of years. We also look at USB A and our smaller markets because a USBA will finance up to 10 million on construction on a project in a rural, well, our tertiary secondary market. And so that’s another track your source of financing. So it’s a combination of contacting all possible sources when a project’s identified and then seeing what comes to the top as the best, best option to utilize.

Hanh Brown: Local banks may move faster, do you need to build in 6-8-month process into your underwriting?

Boone Nerren: Yeah. And it’s on a local bank it’s not, I need to 120 day process on a agency loan, it’s six months, that eight month process. So yeah, those timings that have to be considered into that does, I guess add one more benefit to the local bank is that they can move a little faster. But you’ve got a six to eight month process already built into it. From the time you’re designing to selecting your full development team, to selecting your GC to doing valley value engineering and further refining your costs getting all of your construction drawings done, which is a two to three month process. You’ve already got that time built into it. So if you start your financing discussions early that typically falls into something that doesn’t delay the start of your project. C So it’s a planning and coordination effort from the beginning that you began shaping up your financing.
Hanh Brown: What is the availability of capital for such a project and in purchases of what you’re doing?

Boone Nerren: I haven’t crammed any lack of, of active financing options yet in this particular boom cycle. Now, as you know, when the recession financing becomes tight and constricted and harder to find in times when we are in a robust development and financing market, there is a lot of capital including the agencies and banks. When we’re in tighter economic conditions, then it’s more private money. So that limits the field cause you’re local banks and you hear a federal agencies may not be as available. And so private capital’s a little more expensive. Yes. Sometimes it can be quite a bit more expensive. So even in recessionary times you can still find capital, particularly if you’ve got a team or the track record. And I mean if you’re starting your first project financings a whole lot or difficult, so you’ve got some proven track record. Having been in the business for a while before and then having focused more recently on the senior living that’s created a story for me that has helped in attracting multiple financing opportunities.

Hanh Brown: The market you are developing, how is that occupancy rate relative to the national rate?

Boone Nerren: Look at the, pardon me?

Hanh Brown: Oh No. You said the one that you are leasing up, but it’s around 30 or 40% and within a nine months to a year you are looking to be at 90 plus. Well, what about the exist? Yeah. Existing senior housing in your market. What is the average accurate,

Boone Nerren: Yeah. The thing that I’ve found in the handful of these small markets I have gotten into so far and see that the occupancy is higher than the national average, the national average factors in New York and Chicago and Detroit, Dallas and Miami. And there tends to be a whole lot of overbuilding in those markets, which softens occupancy rates into the mid-eighties. Well, they can still be very attractive on a yield perspective, even in the mid-eighties. But in the smaller markets where there’s not overbuilding the demand continues to exceed the supply. And at least in the Texas markets I’ve looked at those occupancy in smaller markets have run in the mid-nineties.

Hanh Brown: What advantages the senior housing have over other types of real estate investments?

Boone Nerren: There’s two primary areas and it’s, it’s the two real strong reasons why I’ve moved from single family and multifamily and residential development investing to 90% being focused in senior living. And the first of those is that they, there’s a need based market and there really isn’t a outside of medical office, nursing and care and assisted living and memory care. There isn’t any other sector in commercial real estate that is driven by the need the tenant customer, resident, but obviously assisted living and memory care is need based. The second thing is the market that is coming to this is expanding rapidly as the baby boomers age. And so the aging is irreversible and it’s not dependent on any kind of market condition. As Americans get older and they’re 80 million in the baby boomers the front end of the baby boomers are now turning 73 this year. So for the next 18 years we’ve got this population explosion coming to the market. So now you’ve got an expanding number potential residents and it’s a need based market. And that’s two factors that are personally no other commercial real estate sector enjoys.

Hanh Brown: The baby boomer demographic have the highest disposable income that are financially equipped to pay for such a senior living style.

Boone Nerren: Yeah. The and I know I’d seen it a couple of weeks ago, it’s 200 and something thousand is now the average liquid asset retirement base that 80 plus year olds have to draw upon. So we’re not talking forties, 50s, 60s or 70s. 80 plus year olds have an average of 200 and something thousand. Well, if you are looking at 4,000 a month and 48,000 a year and you have over 200,000 plus yourself security, when you add those two together, you can actually stretch that asset base along with your social security payments where you can have six to 10 years rent payments. So that is longer than the average resident needs to stay in a facility because they don’t come again until they meet services. And so typically the length of stay is three years or less. Well, if they’re coming with their average asset mason or social security they can double or even more exceed that average length of stay with their resources. Now in the inner city areas in Detroit or Dallas or Austin, Austin, it can be six, seven, 8,000 per month. So that can chew up your your retirement portfolio quicker. But in the smaller markets we’re going into, we’re hitting the middle strata of America. And so we’re hitting that average affordability range. And that’s what we’re targeting with our facilities and with our marketing strategy.

Hanh Brown: Smart move to target the smaller markets, hitting the middle strata of America to capture that average affordability range.
What are some of your lessons learned over the years in senior housing development? WHAT happen to this?

Boone Nerren: The, you, you can’t start too early in your design process of really designing to the end result. And the end result is only achieved as the building’s completed. And then the state comes in and does its licensing process. So the state will come in and do life safety code checks. Then they check everything from the density of the light cans and the safety of those to the to the holes that are punched in the walls and for electric and plumbing. And how those are sealed back up. And so there’s a lot of additional inspections that the state does to certify a senior living community as fully licensed. And so you really need to begin from the start when you first sit down with an architect, even lay things out to began to plan with licensure in mind, not just the building of a cool looking facility and, and shaping up design features and all that. It’ll be attractive about literally beginning from the start with an idea on the end of, hey, this has gotta be built and constructed to meet state guidelines.

Hanh Brown: Absolutely. Working with a forward feedback mentality is key because ultimately you had to comply with the state. You want to bring them in from the very beginning to make sure all the requirements specification are integrated into the design/construction from the very get-go.

Boone Nerren: Exactly. Yes. So that’s one of the major takeaways because what they single family home or an apartment complex what’s the city gives you, your, you know, the inspector comes and gives you your green tag saying you’re open for business, you’re open for business. But in the senior living community, you still have to have the life safety check by the state and you can’t bring anyone in until they’ve certified your building as acceptable. So there is that additional layer and senior living that’s not present in a homes or multifamily complex.

Hanh Brown: Great advice! For someone who wants to enter into this industry, how do they get started and what to do fundamentally to be successful.

Boone Nerren: Well, I spent two years making contacts starting to read industry publications getting myself acquainted with the nomenclature, terms definitions of senior living because it has its own unique characteristics, just like a multifamily building wood from a retail building and would from a single family residential development. And each of them have their own terms, codes obstacles, planning, decision making that goes into it. And so from the very beginning, you need to get acquainted with your business and not just acquainted, but you need to get knowledgeable about whatever sector you’re entering into as an investor. Well before you can get into development. It took me five years to get into the development side of it. So it is, this is not, you know, you you can do a fix and flip single family home investing seminar in a weekend and you can learn a lot of what you need to do to go out and purchase a home the next weekend and fix it and flip it.

Boone Nerren: You, there is no such shortcut in becoming a developer. So do your homework. And then the second part is, is ties back in. What we talked about before is assemble the very best, most qualified, respected team of core components from the civil to the architect to the GC to the operator that you can find and assemble a great team. Get all your homework done and then track one or two projects as a sponsor or investor participant passively who will allow you to sit in on meetings, track the progress of the project and follow it through all the way from beginning to end. So it, it may be a bit disappointing to some who think, hey, I’d love to get into development came. It’s great. But there’s a lot to learn.

Hanh Brown: Absolutely! Along your journey, what are some challenges?

Boone Nerren: You know, it’s, each one comes up with its own challenges. You know one of the one to you can’t predict ahead of time. I mean, you play on or you have a backup and that’s why you do bonding, no projects. But we started with a GC on our Fredericksburg project that shortly after we selected them and began their corporate office announced that this would be their last senior living development and they were going into government and schools and a, in another direction. That of course made us very nervous. They assured us that our, our team would stay together through the completion of the project. But we ultimately decided to switch gcs because we saw personnel starting to leave their organization and go elsewhere because they wanted to stay in senior living. And not do government and schoolwork. And so we had to make a GC switch early on in our project and that was took an enormous amount of time and effort and coordination and negotiation to make all that work together to be suitable for the previous GC or the incoming GC and for ownership.

Boone Nerren: And that’s not something that would may ever repeat for me again. And so there are things that as much as you would lay out your general considerations for what could happen, there are things that will happen that you have to adjust to and that’s where the strength of the team, the sponsors, the development team is important. And being able to make these adjustments to make decisions and then follow through on them so that the project stays on track and it’s still successful. And there are no limit, just as any real estate investor will tell you if you’re even doing single family homes one home to the next as different situations. One ends up with plumbing and problems that you didn’t know until you got into it. Another one may have great plumbing and bad foundation. Another one may have other issues as you get into it. And so each home, each project has its own individual characteristics. You try and anticipate as many of those as you can and then the rest you just have to be ready for change when it comes.

Hanh Brown: Well said! Great advice for managing a development project and for managing a family.

Boone Nerren: And children, each child is different. I mean, our children, we have three in there. Every one of them, you know, if we applied the same parenting the same way, it wouldn’t be as effective from child one and child two or child three. And so you make adjustments. Yeah. You’re all overall planning how you’re going to approach them, each of them, and then you adjust accordingly for what each child responds to Beth.

Hanh Brown: How do you keep a positive attitude to help with stress management and can even improve your health.

Boone Nerren: Yes, yes. I I’m aware of that. I, I get teased all the time that I’m building these so that I can have a place to stay and my senior years, and I certainly hope I get a discount at Cimbar. I use my ownership. You get a discounted at some points. When I, when I have made I mentally in the industry I read something every day. I have a online publication. I have a, a, a printed publication that comes to me, senior housing news and I have their online version of that as well. And so those things keep me abreast of the changes and keep me abreast of new directions and challenges in the industry. And so that keeps me mentally fresh so that I’m staying on top of this particular sector and industry to the best I can. And then physically active. And so I’m I keep an eye on what I eat and drink and, and try and manage myself physically to stay healthy. Ah, having three kids certainly keeps a person active. And so now those are the things I do to kind of keep my mind as sharp as I can and to stay physically in shape.

Hanh Brown: How do you give back?

Boone Nerren: A couple of things? I do, I’ve got a mentee, a young man that I came to me last year, early last year and expressed an interest in the getting into real estate and development. And he had seen number of blogs and done some research online and watched a number of the folks that are highly regarded out there that have videos available. And he and I sit down and went through Q and a and I said, look, you have an interest. I will be happy to continue providing you some of my time. And so now a year and a half later he still is my mentor, Ian. And so I’m continuing to coach and educate them through his college years now in this because he wants to graduate with some form of real estate degree whether it’s construction management or development and development.

Boone Nerren: Not a degree plan as much, but he’s trying to keep an eye on that as much as he can. So I provide some time there for mentoring. And then I also even as a small company, I have a position that I have is for a paid internship. And so I will bring a, a either a recent college graduate or still college student and for either one or two semesters and or a period of time if they’re out of college for a year and provide them with a paid internship to participate the business, learn everything from organization and entity formation administration documents, storage tax matters, investor communications, and then, you know, the project itself. And so I’ll I have a paid internship that I provide.

Hanh Brown: I think you make a great teacher/mentor! Thank you so much for your time and to inspire so many. How do people get a hold of you?

Boone Nerren: They’re certainly welcome to call me. It’s, yeah, nope. It’s often a little time before, just like today will be leave a message and I’ll get back to you as soon as I can. And of course we can exchange contact information via email and my email address is pretty simple. Well we’ll start with the phone number two, one four seven, nine four, eight, seven, seven, seven. And the email address is boon, which is B o o n, e at [inaudible], a m Z as in Zachary, l l, C as in charlie.com. [email protected]

Hanh Brown: Great to talk to you, best to you and your family. Look forward to next time.

How To Get Started In Senior Housing Investments With Mark Myers

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The number of Americans 65 and older will increase from 47.8 million in 2015 to 79.2 million by 2035, due to the emergence of Baby Boomers into the age of retirement. Such a vast increase only creates a greater demand for Senior Living Facilities.

Lessons Learned From Real Estate Operator & Educator With Joe Anfuso



Joe Anfuso, Chief Financial Officer at MG Properties Group, a private real estate owned company operating about 20,000 units in west side of the United States.  Joe is responsible for directing the financial and fiscal management of company Operations, including budgeting, treasury, tax, accounting, information technology, risk management and insurance.  He joined us on the podcast to discuss what he’s teaching in college, opportunities for the up and coming real estate graduates, simple steps to learning real estate and how to read the pro forma like a story.