Why Even the Best Operator Can’t Fix a Bad Skilled Nursing Market

Skilled nursing operators with a strong regional focus and market presence are attractive to potential investors and capital partners, but ultimately the realities of the market will trump even the best operator. The operator-driven nature of the SNF field makes the people involved in a given facility paramount, but investors can’t overlook how susceptible nursing […]

Diversicare ‘A Very Different Company’ After Kentucky Exit, Touts 7.5% Medicare Rate Boost

Despite a net loss for the quarter, skilled nursing operator Diversicare Healthcare Services (OTCQX: DVCR) touted its performance at the end of 2019, pointing to a 7.5% Medicare rate boost and generally positive performance under the new Patient-Driven Payment Model (PDPM). “With our portfolio changes behind us after the Kentucky exit and the implementation of the new […]

CMS to ‘Immediately’ Refocus Nursing Home Inspections on Infection Control Amid Coronavirus

In the wake of an outbreak of the novel coronavirus at a Washington nursing home, the Centers for Medicare & Medicaid Services (CMS) will immediately refocus inspections of skilled nursing facilities on compliance with the agency’s infection control policies — and suspend all non-emergency survey work, the agency announced on Wednesday. “We obviously are looking […]

Ensign Adds Two Skilled Nursing Facilities in Colorado; UPMC Offloads SNF to New York Owner-Operator

The Ensign Group (Nasdaq: ENSG) acquired the operations of two skilled nursing facilities in Commerce City, Colo., effective March 1, the provider announced Tuesday. The two SNFs, the 105-bed Ridgeview Post Acute and the 83-bed Irondale Post Acute, will be subject to triple-net leases. “We are thrilled to add these two operations to our growing […]

ManorCare Helps Bolster ProMedica’s Financial Fortunes Amid Insurance Struggles

ProMedica Health System’s struggles with its insurance arm hit the non-profit’s bottom line throughout 2019, but the addition of skilled nursing operator HCR ManorCare contributed to a significant increase in total operating revenue for the year. In its unaudited financial report for the 2019 calendar year, the health system reported that its operating performance for […]

‘Nobody Would Qualify’: Skilled Nursing Lenders Adapt to Difficult Medicaid Math

Operators have begun to settle into the Patient-Driven Payment Model, the overhaul for Medicare reimbursement that took effect for skilled nursing facilities last year. But most nursing home residents will be covered by their state’s Medicaid program, and reimbursement shortfalls across the country have created a landscape where most nursing homes are barely breaking even […]

‘I Would Take a SNF Operator With Me in a Dark Alley’: How Nursing Homes Can Prove Worth to a Skeptical Public

Nursing home providers have long suffered from a worse public image than their peers along the senior housing and care continuum, with just the phrase itself conjuring images of a place that few people would ever choose to call home. It’s a problem that leaders with decades of experience in the space acknowledge could become […]

$46.8M for SNF/Adult Day Portfolio in New York; Hospital Seeks SNF Buyer Amid Medicaid Cuts

MONTICELLOAM and its affiliates provided a $46.8 million first-lien debt financing to refinance a skilled nursing property and two adult day care facilities with a combined 407 beds in New York. The deal includes a $3 million working capital loan to the operating company of the properties, which was provided by Monticello Commercial Capital, LLC, […]

Sale of Six Absolut Facilities Approved in Bankruptcy Court; $23M SNF Opens in Detroit

The U.S. Bankruptcy Court for the Eastern District of New York approved RCA Healthcare Management to take over six Absolut Care nursing home sites, starting with a consulting agreement beginning March 1 with the current owners of Absolut. Buffalo Business First reported the news last week. Absolut filed for Chapter 11 bankruptcy protection last fall, […]

Matros: ‘We All Knew PDPM Wasn’t Going to Be Revenue-Neutral,’ Doesn’t Expect CMS Clawback

Sabra Health Care REIT Inc. (Nasdaq: SBRA) is optimistic about how the new Medicare reimbursement for skilled nursing facilities will play out among its operators – even if the new Patient-Driven Payment Model (PDPM) doesn’t quite have the results the federal government expected. Specifically, the Irvine, Calif.-based real estate investment trust (REIT) is seeing PDPM […]

I-SNPs vs. ACOs: Balancing the Skilled Nursing Risks, Rewards of Two Hot Payment Models

As the skilled nursing industry struggles to adapt to a new Medicare payment landscape, in-house Medicare Advantage plans have emerged as one of the hottest topics among leaders — while the space’s publicly traded behemoth has thrown its full support behind the separate accountable care organization (ACO) model. There may not be one set answer […]

After ‘Frenzied’ Year-End of Skilled Nursing Deals, PDPM and Continued Upheaval Likely to Drive More M&A

The pace of skilled nursing transactions kicked up several notches as 2019 rolled to a close, and multiple deal announcements have crossed the wires to start 2020. Abbey Mansfield Ruby, who recently joined the law firm Waller Lansden Dortch & Davis, LLP as partner at its Nashville office, sees the transaction boom as a continuation […]

CareTrust Pulls Off $36M Metron Sale, Doesn’t See PDPM Upheaval Ahead

CareTrust REIT (Nasdaq: CTRE) on Friday announced the successful sale of six skilled nursing facilities operated by Metron Integrated Health for $36 million, observed a slight uptick in skilled nursing pipeline M&A after a slowdown in the wake of the Patient Driven Payment model (PDPM), and pointed to reducing worry about a controversial plan to […]

‘It’s Hard to Be Small’: Fresh Off Skilled Nursing Bankruptcy Auction, SC&H Sees Success in Distress

In a sector roiled by low Medicaid reimbursements and a new Medicare payment system, nursing facilities could change hands more frequently in the coming year — and one firm specifically sees opportunity in targeting distressed properties. With many industry-watchers predicting an uptick in M&A activity in the wake of the new Patient-Driven Payment Model, and […]

CMS Proposes Three-Year Extension, Additional Outpatient Coverage for CJR Bundled Payment Model

The federal government on Thursday issued a proposed rule that would extend the Comprehensive Care for Joint Replacement (CJR) bundled-payment model for an additional three years — while also expanding its reach to include outpatient procedures. Initially set to expire on December 31, CJR would remain active through the end of 2023 if the Centers […]

With Backing from Kaiser Permanente, Post-Acute Tech Firm IntelyCare Wraps $45M Funding Round

A software provider targeting the workforce shortage in the nursing field raised $45 million in a Series B funding round, building off earlier fundraising with the goal of continuing its expansion over the past 12 months. The Quincy, Mass.-based IntelyCare provides a platform via app for matching nurses and certified nursing assistants (CNAs) with shifts […]