Income Producing Home and Property
There are three current income streams of the property. They lease about 18 acres to a rice farmer. They use the out building to operate a professional services business. And three bedrooms in house are used as an ALTA care home.
Some of these can continue as is or can be changed to make more profit. There are other uses of the property to generate additional income. The list below is only a few of the ways the property can be used to create revenue
1. Care home:
The house is currently operating as an Alta level 2 care facility. Alta California Regional Center (ACRC) Care Homes are specialized residential facilities. Level 2 operators are compensated just over $2,000 per client. Some Alta levels receive over $5,000 per client. Learn more about the Alta system, requirements, other levels, and much more. Alta resource
The home is licensed by The State Department of Development Service (DDS) for six clients. There are other types of care homes that can generate more money per client and fewer restrictions to manage. Residential Care Facilities for the Elderly (RCFE) with the aging boomers are in great demand now. The fees can range from $2,000 to over $10,000 per client. Due diligence is always a must when establishing up a business. Check out some of the types of care homes. Types of care homes
Care Home Income
2. Lease land:
Currently part of the property is yearly leased to rice farmers. The farmers did extensive land preparation in the past. The fields were laser leveled. This is a very expensive project. This has increased the land’s usability and value.
There are other ways to use the land other than lease. A cash crop could be grown to increase revenue. The land could be converted to orchards. Due diligence is needed to vet each type of crop or type of orchard.
Income from the Land
The professional engineering company that is operating out of the outbuilding is just one example of a business that this property can support. The outbuilding is 2400 square feet with 272 square feet enclosed and insulted with a large room and full bathroom. It can be used as a living quarters or office.
Large equipment can be moved and parked on the property. Access to highway 20 makes getting anywhere in the central valley convenient. Car restoration, artist work shop, wood working, metal working, mail order business, online operation, small manufacturing, home base business and many more opportunities can operate out of this facility.
Outbuilding Create Business Opportunity
4. Fruit stand:
Fruit stands are profitable cash businesses. Bordering Highway 20, the property would make an ideal fruit stand location. The enterprising family can make a year round fruit stand with coffee, preserves and gift items in the cooler months and seasonal fruit and vegetables the rest of the time. The size and scope depends on the dream and due diligence.
Fruit Stands and Other Creative Incomes
It is very rare for a large asset property to produce enough income to pay for itself. This unique property is set up to create more revenue than the property overhead requires. In addition to the cash flow positive, there are some extraordinary tax benefits associated with care homes and farms due diligence and tax advice is needed to appreciate all the advantages this property will give the new owner.