Months after stating that something new was in store, Five Star Senior Living Inc. (Nasdaq: FVE) has officially laid the groundwork to expand its ancillary services beyond the walls of Five Star communities.
The Newton, Massachusetts-based senior living provider has rebranded its rehabilitation and wellness division as Ageility Physical Therapy Solutions—a move that’s meant to ease the division’s expansion into communities run by providers other than Five Star.
“Our name change to Ageility Physical Therapy Solutions will allow us to expand beyond Five Star communities where we can apply our extensive knowledge and superior service in this niche market to more seniors,” Denise Kelly, vice president of rehab and wellness, said in a press release. “The Ageility name reflects our belief that physical strength and independence are important no matter your age.”
Five Star currently employs approximately 1,000 physical therapists, speech language pathologists and occupational therapists across its communities nationwide. As part of Ageility, many of these employees will work with other senior living providers to offer wellness programs, rehab services and personal fitness regimens to their residents.
The expansion of Five Star’s rehabilitation division is a long time coming. The provider first publicly floated the idea back in March as a component of a six-point plan that would help the then-struggling company improve cash flow amid a myriad of industry pressures.
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In May, still plagued by occupancy pressures, Five Star confirmed its intentions to offer rehab outside of its own communities, including in settings operated by direct competitors. The company had planned to secure its first unaffiliated customers by the end of the second quarter, according to CEO Bruce Mackey.
Five Star had not responded to Senior Housing News’ request for comment as of press time.
Five Star’s move comes as various players in the industry are also considering expanding their ancillary services, inducing rehab, to combat occupancy headwinds and boost revenue.
Written by Mary Kate Nelson