Eclipse CEO Hsiao: Pandemic Distress, Middle-Market Demand Prove Scale Matters in Senior Living

For Eclipse Senior Living CEO Kai Hsiao, the Covid-19 pandemic has proven that scale matters.

He’s been getting more calls from mom-and-pop operators under stress, thinking about how to make an exit from the industry. And he notes that providers historically have not needed to have cash reserves to handle all the costs that the pandemic has presented, from equipment to testing to hero pay.

Furthermore, scale is essential in serving the growing middle-market demographic, he emphasized. From an operating perspective, scale creates cost-saving efficiencies. From a real estate returns perspective, having larger buildings helps offset lower per-unit revenue.

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