Unlocking New Opportunities: Partner with VSL to Invest in Recovery Housing

Unlocking New Opportunities: Partner with VSL to Invest in Recovery Housing

Purpose-Driven Profits: The Case for Recovery Housing with VSL

Why Sober Living Is a Smart Investment

Vanderburgh Sober Living (VSL) is the nation’s largest network of Level II recovery residences, providing structured, supportive housing for individuals in recovery. With years of experience in the field, VSL has built a proven model that ensures successful tenancies, compliance with industry standards, and a seamless transition for operators and residents alike. Our expertise in recovery housing makes us the ideal partner for developers looking to enter this space.

The demand for quality recovery housing has never been higher. As the opioid crisis and other substance use challenges persist, communities across the country are seeking housing solutions that offer stability and structure. Developers are uniquely positioned to meet this demand while building high-yield, socially impactful portfolios.

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The Developer’s Dilemma

For mid-size real estate developers, the market is more competitive than ever. Most developers are pursuing the same types of assets—multifamily, self-storage, commercial, and industrial properties—leading to:

  • Crowded markets: Developers compete for the same properties, driving up prices and compressing returns.
  • Limited differentiation: Investors are looking for unique opportunities, but most mid-size developers are offering similar deals.
  • Capital access challenges: With rising interest rates and cautious lending environments, securing financing for traditional projects has become more difficult.

Developers need a way to stand out, create stable cash flow, and build a portfolio that attracts investors. Recovery housing offers a compelling alternative.

🔗 Read: Why Real Estate Investors Are Leasing to Sober House Operators

What Is Recovery Housing?

Recovery housing refers to structured, supportive residential environments for individuals recovering from substance use disorders. These homes offer community, accountability, and routine—crucial elements for sustainable recovery.

🔗 Read: How to Open a Sober House in Massachusetts: A Guide for Real Estate Investors

Transforming Underutilized Residential Assets

Many homes that are impractical for modern single-family use can be ideal recovery homes:

  • Large bedrooms and common areas support shared living.
  • Limited parking or excess square footage are not drawbacks.
  • Moderate upgrades can unlock long-term rental income.

🔗 Read: Can I Turn My Old Duplex into a Sober House?

Hands-Off Income with Sober House Operators

You don’t need to manage tenants or run programs. VSL places experienced operators who:

  • Manage residents and daily operations
  • Maintain compliance with NARR Standards
  • Sign long-term leases for predictable, stable income

🔗 Read: Thinking of Renting to a Sober Living Operator? Read This Landlord Guide First

Strong Financial Returns

Recovery housing can outperform traditional rentals:

  • Higher Returns: Long-term leases with low turnover
  • Less Competition: Fewer developers operate in this space
  • Built-In Support: VSL streamlines everything from renovation to resident placement

🔗 Compare: Sober Living, Single-Family, and Multifamily Investments

Real-World Impact: Michelle Ngila’s Story

Michelle Ngila, a real estate investor, grew a portfolio of over 14 recovery homes with VSL. Her work has created housing for dozens of individuals in recovery while generating consistent, mission-aligned cash flow.

🔗 Read: Michelle Ngila: Community Impact Through Real Estate with VSL

Why Work with VSL?

Partnering with Vanderburgh Sober Living gives developers an unmatched competitive advantage in the recovery housing space. With the largest network of Level II recovery residence operators in the U.S., we provide the expertise, infrastructure, and support necessary to ensure every project is successful—from acquisition to occupancy. We provide:

  • Advisory services on acquisitions, financing, and investment structuring.
  • Guidance on renovations to meet national and state certification standards.
  • Lease placements to secure strong, long-term tenancies with qualified operators.
  • Holistic operator support — from training to financing support — to ensure stable cash flow for developers.

A Tailored, Scalable Investment Model

VSL’s approach to partnering with developers is flexible and scalable, allowing for tailored investment structures based on market size and developer goals. Our standard model is to form a joint venture with a local developer in a region where recovery housing is most needed.

Depending on the scope of the partnership, we offer two primary collaboration models:

  • Property-by-Property Partnerships – For developers looking to incrementally enter the recovery housing market, we collaborate on individual projects, helping identify, acquire, and lease properties to qualified operators.
  • Co-Branded Investment Funds – For larger-scale partnerships, VSL and the developer jointly create and manage an investment fund to acquire, renovate, and lease multiple properties to recovery housing operators. This model allows for efficient capital deployment, strategic asset management, and long-term growth.

By partnering with VSL, developers gain access to an established infrastructure, a built-in operator network, and a demand-driven investment opportunity that is both profitable and impactful.

Take the Next Step!

Recovery housing is a high-return, low-competition investment opportunity—and with VSL as your partner, you don’t have to navigate it alone. Whether you’re looking to develop a single property or scale through a co-branded investment fund, we provide the expertise, operator network, and compliance support to ensure success.

Interested in learning more? Complete the form below to connect with VSL’s real estate support team.