Independent Living Facilities and HUD 232 Loans
HUD 232 and 232/223(f) loans do not finance full independent living facilities. However, up to 25% of the units in an assisted living or skilled nursing facility may be set aside for independent living.
What is an Independent Living Facility?
Depending on the state, ‘Independent Living Facility’ can mean different things. The primary distinction between independent living and other senior housing (like assisted living) is the amount of care that residents receive. In general, independent living facilities are designed for and friendly towards older adults. In addition, residents typically live in private units. Some examples of independent living facilities are retirement homes, retirement communities, senior housing, and senior apartments.
An independent living facility does not offer assistance with daily activities, such as dressing, bathing, eating, and taking medication. However, they do provide services such as transportation, social programs, and activities. At the same time, fully independent living facilities do not offer in-house nursing care. Although, in some facilities, third-party home health services may be available.