The $1M Surprise Cost When Building Assisted Living (Line-by-Line) | EP 136
From Assisted Living Investing by Brett Chotkevys
March 6, 2026 · 26 min · Episode 136
About this episode
Brett Chotkevys discusses the hidden soft costs in assisted living construction that can significantly impact budgets.
Most people can budget for the land, building, and construction…but the hidden costs (aka soft costs) are what blow up deals — sometimes by $1,000,000+.In this episode, Brett breaks down a real SBA closing document line-by-line to show you exactly what banks include in total development costs: permits, architects/engineering, contingency reserves, construction & lease-up reserves, working capital, SBA fees, bank legal fees, FF&E, and more.If you’re planning new construction, a major addition, or a large renovation for assisted living, this video will help you forecast accurately, raise money with confidence, and avoid getting blindsided when the term sheet comes back “way higher than expected.”Want help building your assisted living deal the right way?: Visit: www.assistedlivingmansion.comTimestamps (use these in YouTube chapters)0:00 Intro — the hidden costs nobody plans for0:59 Hard costs vs soft costs (what’s the difference?)1:21 Example deal: land + build + site work (hard cost totals)2:19 The $1M+ soft cost surprise (why banks quote “crazy numbers”)3:07 SBA loan context (7a/504 + why fees differ)3:38 Permits & city fees (why they vary wildly)4:04 Architects +…
People in this episode
Host: Brett Chotkevys
Topics covered
- assisted living
- construction costs
- soft costs
- SBA loans
- budgeting
- real estate investing
Keywords
- assisted living
- soft costs
- construction
- SBA loans
- budgeting
- real estate
Mentioned in this episode
Organizations: SBA, www.assistedlivingmansion.com
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