Children’s Residential Care Property - Finding Suitable Property for Care Providers

Finding suitable children’s residential care property requires careful consideration of the building, location, planning position and intended care model. A property used for residential care must provide an appropriate living environment while also supporting the operational needs of the care provider.

For providers, landlords and investors, the challenge is finding a property that works as both a practical residential setting and a viable specialist care property. In England, children’s homes must also meet Ofsted registration requirements before they can operate.

What Is Children’s Residential Care Property?

Children’s residential care property is accommodation used by a registered provider to house and care for children who cannot live with their families.

Ofsted describes a children’s home as a place where children live or stay without their families and receive care and accommodation. Residential children’s homes can provide short-term or long-term placements, including homes accommodating disabled children.

The type of property required will depend on the provider’s statement of purpose, the number of children being accommodated and the specific needs of the children.

What Type of Property Can Be Used for Children’s Residential Care?

A range of residential buildings can potentially be considered for children’s residential care.

These may include:

• Detached family houses

• Large semi-detached properties

• Substantial terraced houses

• Existing care properties

• Multi-bedroom residential buildings

• Properties with communal living areas

• Homes with gardens or outdoor space

• Properties requiring refurbishment

The size of the building is only one consideration. The internal layout, condition, surrounding area and ability to support the proposed care service are equally important.

A property with several bedrooms may still be unsuitable if it lacks adequate communal areas, bathrooms, staff facilities or appropriate access to local services.

Property Requirements for Children’s Residential Care

A potential children's residential care property should be assessed against the needs of the proposed service.

Important features can include:

• Individual bedrooms

• Communal living areas

• Kitchen and dining facilities

• Adequate bathrooms

• Staff office or working space

• Storage

• Suitable heating and hot water

• Appropriate lighting and ventilation

• Safe electrical systems

• Fire safety arrangements

• Secure entrances

• Outdoor space where appropriate

• Suitable general security

The property should provide children with a comfortable residential environment while giving staff enough space to operate the service effectively.

Location of Children’s Residential Care Property

Location is an important part of assessing a potential children's residential care property.

Providers may consider proximity to:

• Schools and colleges

• Healthcare facilities

• Public transport

• Shops

• Parks and recreational facilities

• Community services

• Family contact arrangements

• Local authority services

Ofsted requires providers to demonstrate that they have considered the suitability of the proposed location before applying for registration. Providers must also consult relevant local bodies and services, including the police and local authority children’s services, and ask the local authority whether a new children’s home is needed in the area.

This makes location assessment an important part of the property search rather than something to consider after acquiring the building.

Planning Permission for Children’s Residential Care Property

Planning should be investigated before purchasing or leasing a property.

Ofsted's current application guidance requires applicants to provide evidence concerning the planning position of the proposed premises. This can include evidence of planning permission, confirmation that planning permission is not required, confirmation that the current use class is allowed or a copy of a planning application.

Ofsted recommends addressing planning before submitting an application because planning delays can affect the registration process.

For landlords and care providers, establishing the planning position early can reduce the risk of committing significant funds to a property that cannot be used for the intended purpose.

Ofsted Registration and Children’s Residential Care

In England, individuals, partnerships and organisations intending to start a children's home must register with Ofsted before operating.

Ofsted registration is a legal requirement, and operating a children's home without appropriate registration is an offence. A provider cannot operate the home while simply waiting for the registration application to be processed.

The registration process considers the provider, manager, proposed service and location. The provider must also submit the required information and operate within the conditions attached to its registration.

This means that a property transaction should not be treated as separate from the provider's regulatory planning.

Refurbishing Children’s Residential Care Property

Some properties may require refurbishment before they are suitable for children's residential care.

Potential works can include:

• Bedroom improvements

• Bathroom refurbishment

• Kitchen upgrades

• Electrical works

• Heating improvements

• Fire safety works

• Flooring replacement

• Redecoration

• Security upgrades

• Garden improvements

• Roof, window and external repairs

• Creation of suitable staff facilities

A detailed property inspection can help establish the likely refurbishment costs before a purchase or lease is agreed.

Where a provider intends to invest heavily in a leased property, the lease should clearly define which alterations are permitted and who is responsible for the associated costs.

Leasing Children’s Residential Care Property

Landlords with suitable residential properties may consider leasing them to children's care providers.

A specialist lease should clearly establish matters such as:

• Permitted use

• Lease term

• Rent

• Rent reviews

• Repairs

• Maintenance

• Insurance

• Utilities

• Refurbishment

• Alterations

• Compliance responsibilities

• Property inspections

• Garden maintenance

• Reinstatement obligations

The provider should ensure the lease allows the intended use and gives sufficient flexibility to carry out approved works.

The landlord should also carry out appropriate due diligence on the proposed operator, particularly where the property is being leased for specialist residential care.

Children’s Residential Care Property for Sale

Purchasing a property can give a care provider greater control over refurbishment, layout and long-term occupation.

However, prospective buyers should assess more than the property's purchase price.

Important considerations include:

• Planning position

• Building condition

• Number and size of bedrooms

• Communal space

• Location

• Transport links

• Local amenities

• Refurbishment requirements

• Potential operational costs

• Suitability for the intended children's home

A property that works well as an ordinary family home may require substantial changes before it becomes suitable for specialist residential care.

Children’s Residential Care Property Investment

Investors considering children's residential care property should assess the opportunity alongside the requirements of the intended operator.

The property's location, layout, planning position and condition can all influence whether it is attractive to a care provider.

The investment structure may involve selling or leasing the property to an established operator. In a lease arrangement, investors should understand the proposed tenant, lease obligations, maintenance responsibilities and intended use.

Specialist care property can require more detailed due diligence than conventional residential property because the building must support a specific operational purpose.

Finding Children’s Residential Care Property in London

London has a wide range of larger residential properties that may be considered for children's residential care.

Areas such as Croydon, Bromley, Enfield, Barnet, Ealing and Hounslow offer different property types and access to education, transport, healthcare and community facilities.

However, the availability of a large house does not automatically make an area suitable for a children's home. Providers need to consider the specific service they intend to operate and the suitability of the proposed location.

Ofsted's current policy specifically requires providers to consider the proposed location and consult relevant local services before submitting an application.

Working With a Children's Care Provider

Landlords who own a property suitable for children's residential care may benefit from working with an experienced operator.

Before agreeing a transaction, both parties should establish:

• The intended use of the property

• Planning requirements

• Proposed occupancy

• Refurbishment requirements

• Lease responsibilities

• Insurance arrangements

• Repair obligations

• Compliance responsibilities

• Length of the proposed agreement

Clear responsibilities can reduce disputes and help ensure the property remains suitable throughout the tenancy.

How Fraser Bond Can Help

Fraser Bond supports landlords, investors and care providers looking for specialist residential property across London and the wider UK.

Our property services can assist with identifying suitable children's residential care property, assessing buildings, coordinating refurbishment requirements and supporting lease and property management arrangements.

For care providers, the objective is to find a property that can support the proposed service while meeting the relevant planning and regulatory requirements.

For landlords and investors, understanding the requirements of children's residential care can help identify properties with potential for specialist use.

If you are looking for children's residential care property to buy, lease or develop, Fraser Bond can help assess suitable opportunities and support the property process from initial search through to preparation.