The Skilled Nursing M&A Market

Have we hit bottom, or will values continue to decline? Join us next Thursday as we try to decipher what the market holds for investors over the next several years.

Depending on who you talk to, skilled nursing facility values, and the SNF M&A market in general, are going to be troubled for a while. Or, we have hit bottom, and with the new PDPM reimbursement system starting in a few months, SNFs will claim their rightful spot in the healthcare delivery food chain, with values increasing. That is quite a difference in opinion, and one where billions of dollars are at stake.

Next Thursday, we are hosting a webinar on the skilled nursing acquisition market to try to decipher where it is heading and why. Why do buyers continue to acquire SNFs, often paying very high prices, when the risks just seem to be too high in the current environment? And some of these high prices are not just for the new, Medicare-only facilities.

Given the tight margins in the skilled nursing sector, are there structure strategies that sellers can employ to perhaps maximize their cash proceeds, or minimize their capital gains tax? What are the risks today of buying a new transitional care facility, something I call a super-SNF? And has the new development of these declined in the past year or two, and why.

Join me next week and let us help you understand how to navigate this market as we enter a new era.

To watch Steve’s 60 Seconds, click here.


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