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 […]

Diversicare Formally Ends Eight-Year DOJ Investigation with $9.5 Million Settlement Deal

Diversicare Healthcare Services (OTC: DVCR) on Wednesday announced that it has formally closed the book on a Department of Justice investigation that has stretched for nearly eight years. The Brentwood, Tenn.-based skilled nursing provider will pay out the $9.5 million throughout the next five years to resolve a False Claims Act case regarding its therapy […]

Meridian’s $241M Portfolio Deal in the Northeast; Optalis Healthcare Adds Five SNFs in Michigan

Meridian Capital Group this week announced its involvement in a 19-building skilled nursing portfolio deal that saw the New York City-based finance and investment firm provide $241 million in acquisition financing. The portfolio has a total of 2,175 beds, with locations in Massachusetts, New Hampshire, Pennsylvania, Delaware, Maryland, and West Virginia. Meridian’s managing directors, Ari […]

Diversicare Completes Kentucky Exit with 10-Building Transfer

Diversicare Healthcare Services (OTCQX: DVCR) this week announced the successful completion of a 10-building transfer that saw the skilled nursing operator exit the Kentucky market entirely. The handoff was completed on August 30, according to a release from the Brentwood, Tenn.-based provider. Diversicare had previously announced its intention to leave the Bluegrass State back in […]

Diversicare Removed from Nasdaq Exchange, Moving Over the Counter

Diversicare Healthcare Services this week announced that its common stock has been removed from the Nasdaq exchange after officials denied an appeal of its delisting notice. The Brentwood, Tenn.-based skilled nursing operator had received an initial warning from the exchange in late December, after its market value of listed securities (MVLS) dropped below the mandatory […]

Diversicare Reaches Tentative $9.5M Agreement to Settle DOJ Investigation

Diversicare Healthcare Services (Nasdaq: DVCR) on Monday announced that it has reached a tentative agreement to settle an investigation into its therapy practices and other issues that had long served as a drag on its operations. “For six years, we’ve had this open investigation, but we’re now closer to having certainty on the matter,” CEO […]

Diversicare to Exit Kentucky, Hand Over Control of 10 Skilled Nursing Facilities

Diversicare Healthcare Services (Nasdaq: DVCR) on Wednesday announced a plan to exit the Kentucky market, ceding control of the 10 skilled nursing facilities it operates in the state. The Brentwood, Tenn.-based Diversicare reached an agreement with landlord Omega Healthcare Investors (NYSE: OHI) to terminate operations at the 10-building portfolio, which consists of around 885 skilled […]

Diversicare Reports 17-Day Length of Stay Drop from 2017 to 2018

Skilled nursing operator Diversicare Healthcare Services (Nasdaq: DVCR) on Thursday reported net income of $400,000 in the fourth quarter of 2018 — and a major decline in average length of stay from 2017 to last year. “Year over year, our admissions remained relatively flat, but average length of stay decreased by 17.9 days, resulting in a […]

Plum Healthcare Lands $22.5M for New Development; $18.4M Bridge Financing for Kentucky Portfolio

Lancaster Pollard Mortgage Company arranged $22.5 million in development financing for Plum Healthcare Group, LLC to build a new skilled nursing facility in Walnut Creek, Calif. The Columbus, Ohio-based firm worked with a local banking partner on the transaction; Grant Goodman led the transaction for Lancaster Pollard Mortgage Co., along with Joe Munhall, who leads […]

Skilled Nursing Rents 10% Too High, Analysts Say

Skilled nursing rents must decline by about 10% across the board in order to ensure the facilities’ long-term stability, a Wednesday report from Green Street Advisors has concluded. Real estate investment trusts (REITs) must achieve rent coverage of around 1.9 times to achieve stability for their tenants, the real estate research firm’s analysts Lukas Hartwich […]

Diversicare Divests Three Kentucky Properties; Greystone’s $20.9M HUD Financing

Diversicare To Sell Three Kentucky Facilities for $18.7M Executives with the operator Diversicare Healthcare Services Inc. (Nasdaq: DVCR) signed an agreement to sell three Kentucky properties for a combined $18.7 million, Nashville Post reported. The sales are expected to close in the fourth quarter, and will cut Diversicare’s footprint in the state to 10 facilities. The […]

Diversicare Records $7.4M Loss Related to Open DOJ Investigation

Diversicare Healthcare Services Inc. (Nasdaq: DVCR) recorded a net loss from continuing operations of $7.4 million, or $1.15 per share, in what president and CEO Jay McKnight described as “a challenging quarter.” The loss was mainly attributable to a $6.4 million litigation contingency expense related to an open Department of Justice (DOJ) investigation into potential violations […]

Diversicare, Omega Agree to New Master Lease on 34 Skilled Nursing Facilities

Diversicare Healthcare Services (Nasdaq: DVCR) on Monday announced a new lease deal with landlord Omega Healthcare Investors (NYSE: OHI), which will see 34 skilled nursing facilities consolidated under a single agreement. The Brentwood, Tenn.-based skilled nursing provider previously had 23 facilities — scattered across Texas, Kentucky, Alabama, Florida, Ohio, and Tennessee — under one lease […]

Diversicare CEO Retires, CFO James R. McKnight to Take Over

Diversicare Healthcare Services, Inc. (NASDAQ:DVCR) announced Monday that Kelly J. Gill has retired as Chief Executive Officer. Taking over is James R. McKnight, Jr. who had been serving as the Chief Financial Officer since joining Diversicare in August 2012. “On behalf of the entire Board, we thank Kelly for his many contributions to Diversicare over the […]

Diversicare Maintains Momentum at Close of Third Quarter

Despite sustaining monetary damages from Hurricanes Harvey and Irma to the tune of $232,000, Brentwood, Tenn.-based Diversicare Healthcare Services (Nasdaq: DVCR) has maintained “good momentum” as it approaches the end of the year, according to CEO Kelly Gill. In regards to the storms, Gill credits the company’s “extensive preparation activities” in anticipation of the storms. […]

Why SNF Investment Risk Exists in the Eye of the Beholder

Among large swaths of the real estate investment community, reducing exposure to skilled nursing assets is considered a smart play at the moment. Given the uncertain regulatory landscape and shifting payment models, betting on SNFs may just not seem worth it. But several players in the SNF investment market believe that the asset class isn’t necessarily […]

SNF Transactions: Omega, Diversicare Ink New Lease

Diversicare and Omega Negotiate New Master Lease Omega Healthcare Investors (NYSE: OHI) entered into a new master lease with tenant Diversicare Healthcare Services, Inc. (Nasdaq: DVCR), locking in 35 properties for the next 12 years. The move will consolidate two separate leases currently shared between the Brentwood, Tenn.-based Diversicare and the Hunt Valley, Md.-based Omega: […]

Skilled Nursing Pipeline: Genesis Opens New Jersey Rehab Facility

Construction: Planned Ciena Healthcare Plots SNF in Michigan Local officials recently gave the go-ahead to a planned skilled nursing facility in Grand Haven Township, Mich. Ciena Healthcare in 2019 will break ground on the Regency at Grand Haven, a 120-bed SNF, reports the Grand Haven Tribune. Diversicare Community in Missouri Seeks to Add Rehab Units A […]

Highest Paid Chief Executives in Skilled Nursing

Though many of the chief executives behind some of the biggest public skilled nursing companies in the U.S. made millions of dollars last year, some earned more than others. Company leaders at Quality Care Properties (NYSE: QCP), Kindred Healthcare (NYSE: KND), and Omega Healthcare Investors (NYSE: OHI) made the most in total compensation in 2016 — […]