While private equity-backed health care deals have climbed steadily over the last decade, including in the nursing home sector, that shift may have started to slow. There were 110 private equity deals in the nursing home/disability care category in 2021 — a considerable bump compared to years prior, according to a Morning Consult report citing […]
Category: Finance
The Ensign Group (Nasdaq: ENSG) is in a position to grow in select markets, while its newly-formed real estate investment trust (REIT) Standard Bearer allows the skilled nursing giant to finance other promising operators in the sector. Ensign executives discussed future M&A plans and what it looks to accomplish through its REIT during a virtual […]
Vincennes, Ind.-based skilled nursing facility GentleCare of Vincennes was sold to The Strategies, an Indiana based owner/operator with other communities in the state, Senior Living Investment Brokerage announced. The 60 licensed bed, with 52 currently functional, facility reportedly has one of the longest running five-star designations in the state, according to SLIB. The seller, a […]
Now may be the perfect time for senior living and care executives to take a page from brands and companies such as Olay and Cirque du Soleil, hit the reset button, and reinvent themselves. At least that’s what John Cochrane, president and CEO of HumanGood, thinks. HumanGood is the seventh-largest nonprofit senior living provider in […]
ProMedica Senior Care, which houses the nonprofit health system’s skilled nursing operations, has lost $124.3 million during the first quarter of 2022 as both the operator and the industry continue to face lagging occupancy recovery coupled with high labor costs. The financial figure compares to $72.5 million in operating losses for Q1 of 2021. On […]
Real estate investment trusts (REITs) owned about 12% of all skilled nursing assets as of 2021, equating to about 1,870 facilities. That’s according to a research letter published in JAMA Health. Researchers also examined REIT ownership trends of hospitals and other health care properties. The data comes at a time when the Biden administration and […]
Invesque (TSE: IVQ.U) continues its shift toward private-pay assets, a move that brings the health care real estate investment trust a more robust seniors housing portfolio – while its skilled nursing assets dwindle. Dispositions announced during the last three financial quarters have brought pro forma net operating income (NOI) for seniors housing to 60%. Just […]
A large Midwest-based company has transitioned from operator to owner-operator at 12 facilities in Pennsylvania and Delaware after purchasing the assets for $140.5 million in a deal announced on Wednesday by CIBC Bank USA. The seller, a private equity firm, has reportedly been looking to divest from the space. Neither the buyer or seller in […]
It will be three years this October since the Patient-Driven Payment Model (PDPM) was first implemented, and some nursing homes are still struggling to adjust. While a global pandemic and unprecedented staffing shortages are partly to blame for problems in PDPM-related processes, so too is widespread staff agency use. And now, with a potential $320 […]
Welltower Inc. (NYSE: WELL) continues to shrink its long-term care portfolio, selling seven Genesis HealthCare properties in the first quarter of this year. Overall, the senior care segment represented just 4.8% of Welltower’s total NOI in place at the end of 2021 — versus 10.1% at the end of 2020. The 530 basis point decline […]
Skilled nursing leadership believes the sector won’t be receiving any more significant funding support from the federal government moving ahead, despite a dragging occupancy rebound and historic labor shortage. The SNF market will become increasingly more financially stressed as operators struggle to pay back Medicare advances and payroll tax deferrals as well, according to Brian […]
Blueprint announced the sale of three skilled nursing and long-term care facilities in Mississippi totaling 340 licensed beds to DAC Acquisitions, LLC. The portfolio’s owner, a New York-based investment firm, put the facilities up for sale after the operator filed for bankruptcy. Overall census declined throughout the pandemic but leveled out in late 2021 at […]
Miller’s Health Systems is poised to reshuffle its skilled nursing portfolio, stepping away from leases on eight locations in Indiana. The termination of the lease is effective June 30 with the new operator taking over on July 1, according to WARN documents filed with the state and a News and Tribune story. The Warsaw, Indiana-based […]
Leaders with National Health Investors Inc. (NYSE: NHI) said the company’s skilled nursing assets continue to be resilient in the face of financial challenges, including the proposed 4.6% cut to the Patient-Driven Payment Model (PDPM). While executives with the real estate investment trust (REIT) hope the Centers for Medicare & Medicaid Services (CMS) final rule is […]
CareTrust REIT (Nasdaq: CTRE) is moving forward with plans to de-risk a portion of its portfolio, with 27 of the 32 targeted assets up for sale. The 32 facilities – a “vast majority” of which are seniors housing and some skilled nursing – represent approximately 10% of the real estate investment trust’s contractual cash rent. […]
Facing unprecedented financial and labor challenges and regulators proposing unrealistic standards, skilled nursing providers have no choice but to change how they operate — or they risk failure. “I use this analogy of Wayne Gretzky – you’ve gotta skate to where the puck is going. That’s what I see us needing to do now. If […]
Oxford Finance’s Healthcare Real Estate Group closed over $280 million in transactions in the first quarter of 2022, providing credit facilities ranging from $5 million to more than $110 million. Some of the deals Oxford closed included a $80.7 million term loan along with a $8.5 million revolving line of credit to finance the acquisition […]
By Tim Regan Sabra Health Care REIT’s (Nasdaq: SBRA) strategy for growth in 2022 is “simple,” according to CEO Rick Matros. The company plans to diversify its portfolio by paring down its skilled nursing exposure while growing in other product types, such as assisted living. “We’re focused on diversifying the portfolio with smaller deals in […]
Skilled nursing market activity continues to be robust despite regulatory tailwinds creating a potentially uncertain future for operators. Last August price per bed valuations were up $17,000 compared to 2020 for the skilled nursing industry, according to seniors housing and SNF brokerage Evans Senior Investments, and valuations have largely stayed at those levels so far […]
Welltower Inc. (NYSE: WELL) made a nearly $5 billion cash offer for Healthcare Realty Trust Inc. (NYSE: HR) that was ultimately rejected, the Wall Street Journal reported this week. Despite the initial deal not working out in Welltower’s favor, the Toledo, Ohio-based real estate investment trust (REIT) remains interested in a potential acquisition, the WSJ […]
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