Between 2010 and 2012, skilled nursing facilities in 40 states across the nation dealt with Medicaid payment rates that were either cut or frozen, highlighting the importance of stabilizing federal nursing home rates, according to a recent Avalere survey. “These findings speak to the financial pressures nursing facilities face on the Medicaid front,” said Emil Parker, [...]
In the next decade, the cost of government healthcare programs like Medicare and Medicaid are expected to more than double, according to the Congressional Budget Office’s economic outlook for fiscal years 2012 to 2022, and if lawmakers don’t substantially restrain the spending, it will result in “unsupportable” federal debt levels. By 2022, federal spending on [...]
In the relative absence of new construction, the senior housing industry is left to work with what’s already around, but in some cases, those existing facilities might not be performing well. That’s where turnarounds come into play, and while there’s already opportunity in this field, the potential is likely to grow. Senior housing construction is [...]
The nursing home industry is working to prevent further Medicare reimbursement reductions, this time in the form of cuts to bad debt payments, by proposing an alternative: a plan to reduce hospital readmissions from skilled nursing facilities. On Wednesday, Feb. 1, the American Health Care Association (AHCA) will pitch its plan to a House-Senate conference [...]
AdCare Property Holdings, LLC, a subsidiary of AdCare Health Systems, Inc., agreed on Jan. 17 to acquire a 141-bed skilled nursing facility located in Lonoke, Ark. for an aggregate purchase price of $6,486,000, subject to the terms and conditions of the ConvaCare purchase agreement. The purchase is expected to close on March 1, 2012, although [...]
Hugo Suite Living, located in Hugo, Minn., announced on Jan. 29 that it is converting all of its units to memory care-only, due to the “growing amount of seniors [that] are diagnosed with Alzheimer’s disease.” “We are very happy with the results we have seen at Hugo Suite Living since we have converted to all [...]
There’s a lot of buzz around the concept of managed and accountable care thanks to the Affordable Care Act’s Accountable Care Organization (ACO) movement, but it’s not a new idea, and it hasn’t exactly worked in the past, according to a Wall Street Journal roundtable discussion between three health-care policy experts. Dr. Donald Berwick, who just [...]
Assisted living laws in Florida could go from one side of the spectrum to the other in the wake of the Miami Herald’s series on elder abuse that occurred in many state facilities, with little or no ramifications. Now, Florida lawmakers are looking to shift the state’s caretaker oversight from negligent to possibly the toughest [...]
There are always new developments in senior care technology, from better ways to keep track of health, to new blogs talking about healthcare information technology, to innovative devices that make hearing aids more affordable. Check out the following websites and products for ways to keep up with the latest tech trends and developments. 1. Careverge: [...]
Are Private Equity Firms the Next Big Investor in Senior Housing?
Most will agree that 2011 was the year of the REITs, with healthcare real estate investment trusts going on a $20 billion spending spree, writes the National Real Estate Investor, but in 2012, private equity firms could be the “next big investors in seniors housing.” “Private equity will be active this coming year in seniors [...]
Healthcare M&A Spending Swells 11% in 2011 to $227 Billion
Last year saw $227.4 billion worth of healthcare merger, acquisition, and takeover activity, representing an 11% increase from the $205.6 billion spend in 2010, according to Irving Levin Associates, Inc. In terms of financing dollars, 2011 was the fourth-largest year of the past decade, although the actual number of deals announced in the year decreased [...]
Challenges and Prospects in Repurposing Old Buildings for Assisted Living
When various types of buildings end up vacant and in disuse, sometimes the next logical step is to repurpose them for senior housing, especially as the nation’s senior demographic grows at a rapid pace. Old hospitals, hotels, and schools are probably the three most common types of buildings that can be converted into an assisted [...]
Financing Senior Care Renovation: Less Risky Alternative to New Construction?
New construction starts remain significantly below peak 2007 levels, according to data from the National Investment Center for the Seniors Housing & Care Industry, and with financing largely unavailable for ground-up construction, is renovation or rehabilitation of senior care facilities a less-risky alternative for lenders? With nursing homes across the nation an average of nearly four [...]
Recent Senior Housing Finance Activity: Love, Ziegler, KeyBank
Love Funding Secures a $4.6 Million Loan Refinance for Illinois ALF Love Funding announced on Jan. 3 that it closed a $4.6 million refinancing through the Department of Housing and Urban Development’s 232/223(f) loan program for an assisted living and memory care center located in Milan, Illinois. Avonlea Cottage of Quad Cities is a 46-unit [...]
