Care Home Development Land: Choosing the Right Location for Long-Term Value

Care Home Development Land

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With the UK’s ageing population placing growing pressure on the social care system, demand for new care homes continues to rise. For landowners, this creates a significant opportunity — but success depends on offering the right care home development land in the right location.

In my role acquiring land and working closely with care home operators, understanding what makes a site suitable for care home development is essential. Location, site size and the surrounding environment all directly affect whether a care home can operate efficiently, remain financially viable and deliver high-quality care.

Below are the key factors we consider when assessing land for development.

 

1. Suburban Locations Are Ideal for Care Home Development Land

The most successful care home development land is typically found in suburban locations. These areas strike the right balance between tranquillity and accessibility, offering residents a calm environment while remaining practical for staff, visitors and service providers.

A well-located suburban site allows the care home to function effectively as a business while maintaining a residential feel that supports wellbeing.

 

2. Local Affluence Supports Long-Term Viability

Affluence is a critical consideration when assessing land for care home development. A care home must be located in an area where residents can realistically afford private or part-funded care.

As a general guide, locations where residential values exceed £300 per square foot provide a strong foundation. This level of affluence helps support sustainable occupancy levels and long-term operational success.

 

3. Adequate Site Size Is Essential

Care home development land must be large enough to meet CQC requirements, ensuring residents can live safely, comfortably and with dignity.

A typical 75-bed care home requires approximately 1.5 acres. This allows sufficient space for:

  • Accessible internal layouts for residents using wheelchairs or mobility aids
  • Outdoor amenity space for residents’ wellbeing
  • Efficient staff operation
  • Adequate parking for staff and visitors

Insufficient site size is one of the most common barriers to successful care home development.

 

4. Population Demographics Drive Demand

Population density is another key indicator of suitable development land. Ideally, there should be at least 40,000 people within a three-mile radius.

This level of population supports both a reliable pool of prospective residents and a local workforce — both critical for long-term viability.

 

5. Public Transport Links Support Staffing

Recruitment and retention remain major challenges within the care sector. Land for development that benefits from good public transport links — such as nearby bus routes or railway stations — is far more attractive to operators.

Accessible locations widen the potential labour pool and improve staff retention, directly supporting operational stability.

 

6. Strong Road Frontage and Visibility

Good care home development land should offer strong road frontage. Visibility makes the site easier for visitors to locate and more recognisable for families exploring care options.

For residents, a visible and connected location can also foster a stronger sense of community and inclusion.

 

7. Proximity to Healthcare Services

Being close to GP practices, pharmacies and other healthcare facilities is a major advantage. Proximity enables quicker access to medical care when required and is a key consideration for care operators assessing potential sites.

 

Unlocking Value from Care Home Development Land

The right site is the foundation of a successful care home — supporting quality care, strong operational performance and long-term sustainability. For landowners, understanding what operators are looking for is the first step in unlocking development value.

At Muller, we work with landowners to identify and promote land suitable for development, securing planning consent at our cost and risk, not yours.

If you own land and want to explore its potential for care home development, speak to our expert team today.

 


By Jonothan Croft, Land Director, Muller Property Group