NAICS 623312 Quarterly Industry Report
Homes for the Elderly
Comprehensive industry research for valuation professionals, business owners, buyers, and lenders
NAICS Code: 623312Sector: Health Care and Social Assistance (62)Updated: Q1 2026
About This Report
This industry profile for Assisted Living Facilities for the Elderly (NAICS 623312) draws on data from the U.S. Census Bureau[6], Centers for Medicare and Medicaid Services[8], Bureau of Labor Statistics[9], and SBA size standards database[7]. Published by Fair Market Value and updated quarterly, it provides valuation professionals, senior living analysts, and assisted living investors with current market data. All quantitative claims are sourced to publicly verifiable databases.
Industry Snapshot
Key metrics for the homes for the elderly industry.
NAICS Sector
62
Health Care and Social Assistance
Industry Definition & Overview
Assisted Living Facilities for the Elderly (NAICS 623312) encompasses establishments primarily engaged in providing residential and personal care services without on-site nursing care facilities for the elderly or other persons who are unable to fully care for themselves or who do not desire to live independently per the U.S. Census Bureau[5]. Services typically include room, board, supervision, and assistance with daily living activities such as bathing, dressing, medication management, meal preparation, housekeeping, and transportation.
Roughly 16,000 facilities operate over 21,000 locations employing approximately 475,000 workers with annual payroll exceeding $14.5 billion per Census Bureau[6] economic survey data. Brookdale Senior Living operates as the largest U.S. assisted living provider. Five Star Senior Living (now Diversified Healthcare Trust), Sunrise Senior Living, and Atria Senior Living maintain additional large-scale operations. Average monthly costs range from $3,000 to $6,000 depending on geographic market and service intensity, with private pay representing the primary revenue source for most facilities.
Per the SBA Table of Size Standards[7], the size standard is $23.5 million in average annual receipts. State licensing governs assisted living facilities with wide variation in definitions, staffing requirements, and service scope across jurisdictions. Some states permit assisted living facilities to accept Medicaid waiver residents under Home and Community-Based Services programs per CMS[8] state plan guidelines. Typical staff-to-resident ratios range from 1:6 to 1:8 during daytime hours. Background check requirements, initial staff training hours (typically 16 to 40 hours), and medication administration policies vary by state. Memory care units within assisted living facilities serve residents with Alzheimer's disease and other dementias, often at premium monthly rates reflecting the additional supervision and specialized programming required.
What's Included in This Industry
- Personal care assistance with bathing, dressing, and grooming
- Medication management and administration oversight
- Meal preparation and dining services
- Housekeeping and laundry services
- Social and recreational activity programming
- Transportation services for medical appointments and errands
- Memory care unit operations for dementia residents
- Emergency response and 24-hour supervision systems
- Health monitoring and wellness check coordination
- Move-in assessment and individualized care planning
NAICS Classification Hierarchy
| Level | Description | Code |
|---|---|---|
| Sector | Health Care and Social Assistance | 62 |
| Subsector | Nursing and Residential Care Facilities | 623 |
| Industry Group | Continuing Care Retirement Communities and Assisted Living Facilities for the Elderly | 6233 |
| NAICS Industry | Continuing Care Retirement Communities and Assisted Living Facilities for the Elderly | 62331 |
| National Industry | Assisted Living Facilities for the Elderly | 623312 |
Related NAICS Codes
| Code | Description | Relationship |
|---|---|---|
| 623311 | Continuing Care Retirement Communities | Continuing Care Retirement Communities provide the full spectrum from independent living through skilled nursing on a single campus, offering seniors a bundled alternative to standalone assisted living with guaranteed access to higher care levels as health needs change over time |
| 623110 | Nursing Care Facilities (Skilled Nursing Facilities) | Nursing Care Facilities accept residents who have aged beyond assisted living capabilities, with skilled nursing placement representing the next care level when medical complexity or functional decline exceeds what assisted living staff can safely manage |
| 624120 | Services for the Elderly and Persons with Disabilities | Services for the Elderly and Persons with Disabilities provide community-based alternatives including adult day care and home modification that allow seniors to delay or avoid assisted living admission by maintaining independence with supportive services in their own homes |
| 621610 | Home Health Care Services | Home Health Care Services deliver skilled nursing and therapy in the home as a direct alternative to assisted living placement, with many seniors choosing home health care to remain in their own residences rather than relocating to a congregate care setting |
| 531110 | Lessors of Residential Buildings and Dwellings | Lessors of Residential Buildings operate independent senior living apartments that compete with assisted living for active older adults, with rental housing serving seniors who need minimal daily assistance and prefer lower-cost independent living arrangements |
| 622110 | General Medical and Surgical Hospitals | General Medical and Surgical Hospitals serve as emergency care destinations for assisted living residents experiencing acute medical events, with hospital discharge planning determining whether residents can return to assisted living or require skilled nursing placement |
Geographic Concentration
Top states by share of national establishments.
| # | State | % Est. | Total Est. |
|---|---|---|---|
| 1 | California | 17.6% | 3,764 |
| 2 | Washington | 8.3% | 1,767 |
| 3 | Florida | 6.7% | 1,432 |
| 4 | Oregon | 5.2% | 1,105 |
| 5 | Wisconsin | 4.9% | 1,042 |
| 6 | Texas | 4.7% | 998 |
| 7 | Michigan | 4.1% | 882 |
| 8 | Arizona | 3.6% | 768 |
| 9 | Pennsylvania | 3.0% | 642 |
| 10 | Minnesota | 2.9% | 621 |
% Of Establishments
0%
18%
Source: County Business Patterns, U.S. Census Bureau[3]
SBA Lending Summary
2,240
Total SBA Loans
$2.5B
Total Loan Volume
$1.1M
Average Loan Size
19 yrs
Average Loan Term
9.73%
Average Interest Rate
31,128
Jobs Supported
Source: SBA 7(a) Program Data, U.S. Small Business Administration — FY 2025[4]
Key Insight: Per the SBA Table of Size Standards[7], Assisted Living Facilities for the Elderly (NAICS 623312) has a size standard of $23.5 million in average annual receipts for federal contracting purposes. SBA lending programs[10] support facility acquisition, renovation, and expansion for qualifying assisted living operators. Eligible businesses can access SBA 7(a) loans[11] for working capital, equipment, and acquisition financing, while 504 loans[12] support major fixed-asset purchases including real estate and heavy machinery.
Top SBA Lenders
| # | Lender | Loans | Volume | Avg Loan |
|---|---|---|---|---|
| 1 | Live Oak Banking Company | 320 | $473.2M | $1.5M |
| 2 | Pinnacle Bank | 96 | $144.5M | $1.5M |
| 3 | Harvest Small Business Finance, LLC | 72 | $100.4M | $1.4M |
| 4 | Gulf Coast Bank and Trust Company | 48 | $92.2M | $1.9M |
| 5 | Celtic Bank Corporation | 64 | $89.9M | $1.4M |
Frequently Asked Questions
Common questions about this industry.
What is the NAICS code for assisted living facilities?
NAICS 623312 covers assisted living facilities for the elderly providing residential and personal care services without on-site nursing care per the U.S. Census Bureau[5].
What is the SBA size standard for assisted living?
The SBA size standard[7] is $23.5 million in average annual receipts, determining eligibility for federal small business contracting programs and SBA lending products.
How large is the assisted living industry?
Roughly 16,000 facilities operate over 21,000 locations employing approximately 475,000 workers with annual payroll exceeding $14.5 billion per Census Bureau[6] economic survey data.
How much does assisted living cost per month?
Average monthly costs range from $3,000 to $6,000 depending on geographic market and service intensity per industry survey data, with private pay representing the primary funding source and memory care units charging premium rates for specialized dementia programming.
Does Medicaid cover assisted living?
Some states permit assisted living facilities to accept Medicaid waiver residents under Home and Community-Based Services programs per CMS[8] state plan guidelines, though coverage availability and reimbursement rates vary widely across state Medicaid programs.
Who is the largest assisted living provider?
Brookdale Senior Living operates as the largest U.S. assisted living provider per Census Bureau[6] business data, with Sunrise Senior Living, Atria Senior Living, and Five Star Senior Living maintaining additional large-scale national operations.
What staffing ratios apply to assisted living?
Typical staff-to-resident ratios range from 1:6 to 1:8 during daytime hours per state licensing standards, with overnight ratios often lower and memory care units requiring higher staffing levels to manage residents with cognitive impairment safely.
What is memory care in assisted living?
Memory care units within assisted living serve residents with Alzheimer's disease and other dementias, providing secured environments, specialized activity programming, and higher staffing ratios at premium monthly rates reflecting the additional supervision required per state licensing requirements.
Sources & References
Government datasets and editorial sources used in this report.
- [1]U.S. Bureau of Labor Statistics, Quarterly Census of Employment and Wages bls.gov
- [2]U.S. Census Bureau, Economic Census census.gov
- [3]U.S. Census Bureau, County Business Patterns census.gov
- [4]U.S. Small Business Administration, SBA 7(a) Loan Program Data data.sba.gov
- [5]U.S. Census Bureau census.gov
- [6]Census Bureau data.census.gov
- [7]SBA Table of Size Standards sba.gov
- [8]CMS cms.gov
- [9]Bureau of Labor Statistics bls.gov
- [10]SBA lending programs sba.gov
- [11]SBA 7(a) loans sba.gov
- [12]504 loans sba.gov
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