Behavioral Health Real Estate, Explained
Practical guides on the transactions behavioral health operators actually run, how they work, when they make sense, and where they go wrong.
M&A7 min readSelling a Behavioral Health Practice to Private Equity: What Owners Should Know
If you own an outpatient therapy, psychiatry, or intensive outpatient practice, a private equity-backed group may have already called. The market behind those calls is real, but narrower than it was…
Luke Wollet ·
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M&A6 min readWhen Is the Best Time to Sell a Behavioral Health Practice?
Practice owners usually ask the timing question as a market question: is now a good time to sell? The market matters, but it is only one of three parts. The other two are the practice itself and your…
Michael Cabot ·
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M&A6 min readHow to Sell Your Behavioral Health Practice: A Step-by-Step Guide
Selling a behavioral health practice is different from selling a residential facility. The buyers are often different, the deal is smaller, and more of the value sits with the clinicians and payer…
Joshua Slaybaugh ·
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M&A7 min readSelling a Behavioral Health Facility: A Practical M&A Guide for Operators
Behavioral health M&A has held up better than the headlines suggest. Deal volume across addiction treatment, mental health, and autism/I/DD came in at roughly 167 projected transactions for full-year 2025, still well…
Michael Cabot ·
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Sale-Leaseback7 min readSale-Leaseback Tax Implications for Treatment Center Operators
Treatment center operators considering a sale-leaseback are usually focused on the number that matters most in the moment: proceeds at closing. That number is only part of the picture. How the transaction is structured…
Joshua Slaybaugh ·
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Market7 min readBehavioral Health Real Estate Market Outlook: 2026 and Beyond
The behavioral health real estate market sits at an unusual point in its development. Underlying clinical demand is large and well documented. Supply of licensed facilities is constrained by regulation, financing, and…
Michael Cabot ·
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Development6 min readDe Novo Site Selection Checklist for Behavioral Health Treatment Facilities
Behavioral health de novo site selection is fundamentally different from typical commercial real estate site selection because the product being sold, a licensed course of treatment, is inseparable from state…
Luke Wollet ·
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Sale-Leaseback7 min read"NNN Lease Structures for Behavioral Health Treatment Centers: What Operators Should Negotiate"
Most institutional capital in behavioral health real estate today is deployed through triple-net (NNN) leases, whether in a sale-leaseback, a new facility ground lease, or an acquisition where the buyer separates the…
Joshua Slaybaugh ·
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Acquisitions7 min readBuying vs. Leasing a Behavioral Health Treatment Facility: A CFO's Decision Framework
There is no universally correct answer to buying vs leasing treatment facility real estate. The right answer depends on a specific operator's payer mix stability, growth trajectory, capital plan, and geographic ambition…
Michael Cabot ·
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Development7 min readCertificate of Need (CoN) Requirements for Behavioral Health Treatment Facilities: A State-by-State Overview
An operator can have the capital, the clinical team, and the perfect site under contract, and still be a year away from opening. Certificate of Need laws are the reason. In roughly three dozen states, a behavioral…
Luke Wollet ·
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Market7 min readCap Rates for Behavioral Health Real Estate: What Operators Should Expect in 2026
Every conversation about a sale-leaseback, a facility acquisition, or a refinance eventually arrives at the same question: what cap rate applies to this property? For behavioral health real estate, SUD and detox…
Joshua Slaybaugh ·
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Development7 min readZoning for Behavioral Health Treatment Facilities: Federal Protections and Local Practice
The legal question is largely settled. Federal courts have repeatedly held that residential treatment for substance use disorder is a residential use of property, protected under the same fair housing framework that…
Michael Cabot ·
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Sale-Leaseback6 min readSale-Leaseback Transactions for Treatment Centers: A Complete Guide
How treatment center operators use sale-leaseback transactions to unlock capital while keeping the facility running, how the structure works, how it gets valued, and where operators go wrong.
Joshua Slaybaugh ·
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