Operator Credit Is the First Thing Buyers Are Asking About

In this market, it’s not just about the building. It’s about who’s in it.

Buyers are getting more aggressive with their underwriting, and operator credit is right at the top of the list. If your tenant doesn’t have clean financials, a strong payer mix, and a clear growth plan, you’re either getting retraded or skipped altogether.

We’ve seen this play out across behavioral health, senior living, and even specialty outpatient. Same building, same layout, same market—but two very different valuations depending on who’s operating inside. Strong operators are still pulling premium cap rates. Everyone else is getting shaved down or asked to bring in a management group before closing.

It’s not personal. It’s capital discipline. In a tighter lending environment, investors want stability. They want to know that rent’s going to clear every month. They want contracts, census trends, referral sources—all of it. And they’re digging deeper than they used to.

If you’re planning to sell or refinance, your operator’s story better be ready. Not polished—real. That means audited financials, updated pro formas, and a clear explanation of how this location fits into a larger clinical or geographic strategy.

The building matters. But the people running it? That’s what closes the deal.

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