‘An Extinction Event’: Industry Leaders Blast Finalized Nursing Home Staffing Mandate

The Centers for Medicare & Medicaid Services (CMS) on Monday unveiled the finalized minimum staffing standards for nursing homes, drawing sharp – and deeply apprehensive – responses from leaders in the sector. CEOs of nursing home owners and operators and leaders of industry associations were all but unanimous in their reactions; among those who spoke […]

Sabra CEO: Reimbursement Hikes May Be Even Bigger Next Year to Account for Inflation 

Nursing home occupancy continues to slowly improve, a trend that along with higher reimbursement rates going forward, will improve the bottom line for Sabra Healthcare REIT (Nasdaq: SBRA), according to executives. Rick Matros, CEO of Sabra, said during the company’s second quarter earnings call on Tuesday that he expects a large increase to next year’s […]

Sabra CEO: Signature Posts Solid Q1 After Tough 2022, SNFs on Upswing with ‘Worst Behind Us’

Ongoing portfolio restructuring suppressed first quarter earnings for Sabra Health Care REIT (Nasdaq: SBRA), but executives are bullish on improving market conditions and metrics for skilled nursing. “It feels good to at least believe that we’ve gotten the worst behind us, and I really do feel pretty good about things going forward,” CEO Rick Matros […]

Ventas to Take Ownership of 48 SNF and Hospital Assets in Collateral Pool of $486M Santerre Loan

Ventas (NYSE: VTR) on Friday announced that it intends to take ownership of the collateral that supports its approximately $486 million cash-pay mezzanine loan to Santerre Health Investors. “Ventas expects to take ownership of the Santerre Portfolio through a ‘loan to own’ structure that converts the outstanding principal amount of the Santerre Mezzanine Loan to […]

Ensign Eyes Growth Into New States, Exercising Caution in ‘Tricky Period’ for Industry

The Ensign Group (Nasdaq: ENSG) is looking to expand into Mid-Atlantic states and cautiously eyeing other opportunities while remaining focused on successfully transitioning recently acquired properties, company leaders said Tuesday. The company recently took over operations of 17 skilled nursing communities (SNFs) in California, as part of a previously announced deal with Sabra Health Care […]

Solution in Search of a Problem: CMS’ Latest Nursing Home Ownership Proposals Raise Industry Concerns

For the last year, federal regulators have taken steps to increase nursing home ownership transparency, as part of the White House’s reform agenda. The most recent actions have centered on more clearly defining different types of ownership groups and making information more consumer-friendly – and have drawn concern and criticism from within the sector. About […]

Sabra CEO Upbeat on Skilled Nursing Performance Amid ‘Slog’ of Labor Challenges

Executives at Sabra Health Care REIT (Nasdaq: SBRA) said after they close on a couple transactions in the next couple months, “that’ll pretty much be the end” of a capital recycling program they have been pursuing. They anticipate a quiet year on the acquisition front, with debt a constraint, while the skilled nursing environment remains […]

CMS Proposes Rule Requiring More Nursing Home Ownership Transparency, Including REIT and Private Equity Disclosures

The Centers for Medicare & Medicaid Services (CMS) announced Monday a proposed rule to require nursing homes to disclose more information regarding their ownership and management, including information related to assets held by real estate investment trusts (REITs) and private equity firms. Nursing homes will be expected to disclose this information as part of the […]

Ensign Going ‘Up the Acuity Chain,’ Expects Medicaid Support for Soft Landing as PHE Ends 

Following the Biden administration’s plans to end the public health emergency (PHE) on May 11, leaders at Ensign Group (Nasdaq: ENSG) are bullish that state assistance will create a soft landing. Ensign CEO Barry Port has seen operators in the sector bolstered by enhanced Federal Medical Assistance Percentage (FMAP) funding during the pandemic; this federally […]

Sabra Sells ‘Sizable’ SNF Portfolio at $200K Per Bed, Discloses $185M in Recent Proceeds 

Sabra Health Care REIT (Nasdaq: SBRA) on Thursday announced about $185 million has been received in gross proceeds since Sept. 30, 2022, including through a “sizable portfolio” of skilled nursing assets that fetched $200,000 a bed. The previously disclosed sales were “almost entirely comprised of skilled nursing investments,” Sabra said in a statement.  The $200,000-per […]

Ensign Adds 17 Skilled Nursing Communities as Sabra Deal Closes 

The Ensign Group (Nasdaq: ENSG) on Wednesday announced that the company is assuming operations of 17 skilled nursing communities in California, as part of a previously announced deal with Sabra Health Care REIT (Nasdaq: SBRA). That deal involves 20 communities total, which previously were operated by North American Health Care. The properties located in Ensign’s […]

REIT Ownership of Nursing Homes Linked to Changes in Clinical Staffing Patterns 

Real estate investment trust (REIT) investment in nursing homes has been linked to an increase in some clinical staff hours per resident day – specifically a 2.15% and 1.55% percent bump in licensed practical nurse (LPNs) and certified nursing assistant (CNAs) hours, respectively. Registered nurse (RN) hours, on the other hand, decreased 6.25% in the […]

Sabra, LTC Properties Execs: Skilled Nursing Faces ‘Slog’ in 2023, High-Acuity Care an Opportunity

The coming year will be “a bit of a slog” for skilled nursing, but operating and financial headwinds should ease over the course of 2023. That’s the viewpoint of Rick Matros, CEO of Sabra Health Care REIT (Nasdaq: SBRA), which owns 270 skilled nursing and transitional care properties, along with senior living, behavioral health and […]

Top Skilled Nursing Trends for 2023

Economic uncertainty, staffing shortages, looming federal regulations, a new COVID variant and major changes to the Minimum Data Set (MDS) are just a few of the challenges facing the skilled nursing sector at the dawn of 2023. But a new year is also a time for optimism. Favorable Medicaid policies, the growth of strong regional […]

REIT Moves Drive a Reordering of the Skilled Nursing Operator Landscape

Skilled nursing operators should anticipate further distress in the coming months and into 2023, which will likely result in even greater divides among providers. The winners and losers already are being sorted, as the latest round of real estate investment trust (REIT) earnings made clear. And unsurprisingly, strong regional operators are leading the pack. Welltower […]

Ensign Leaders on Acquisition Strategy, Tripledemic Demands, PHE Relief

As one of, if not the largest nursing home operator in the country, The Ensign Group (Nasdaq: ENSG) has quickly filled turnaround properties with a robust talent pipeline – including having 30 to 40 administrators-in-training at all times – despite a historic staffing shortage. Leadership also delved into why the Texas Medicaid rate is such […]

Sabra CEO: North American Portfolio Transition to Ensign, Avamere is ‘Best Possible Outcome’

Nursing home operators continue to reevaluate their position at this stage of the pandemic, as the industry continues to tackle a historic workforce shortage – some, like North American Health Care Inc., have decided to downsize in order to better manage existing properties. This shift to a more conservative strategy serves as the backdrop to […]