Buying and Selling CCRCs and IL Communities
Independent living is riding high and CCRCs have successfully emerged from the Great Recession. We know the independent living acquisition market has been hot, setting records in the past two years. And we know that occupancy levels are among the highest in the seniors housing sector, perhaps because there has not been a lot of new IL development, as least compared with assisted living and memory care. But CCRCs, or Life Plan Communities as some people would prefer to call them, have been making a strong comeback from the Great Recession and housing crisis. Who is buying these CCRCs and how are they valuing them? And how is the acquisition of a CCRC different from that of an independent... Read More »
Controversy Among The REITs
Opinions and controversy are all part of the game, but sometimes it can go too far. Some people think I speak my mind a little too frequently, but after 30 years in the seniors housing and care sector, it is hard not to have a lot of opinions. I have always thought that with so much news out there, and so much rehashed news, people want to hear what someone really thinks. It may not be popular, but if it based on experience and a lot of thought, well, then maybe it is worth something. Controversial? Sometimes, at least I hope so. But perhaps not as controversial as the current spat among some healthcare REITs about their decisions to spin off their skilled nursing portfolios, or not. For... Read More »
Welltower Building A Manhattan Tower
Welltower and Hines will be developing Welltower’s first urban high rise senior care community in Manhattan. I, for one, can’t wait to take a tour of Hines and Welltower’s high rise assisted living and memory care development right in the middle of midtown Manhattan. And while I’m at it, I could visit Maplewood Senior Living’s similar development a little more than a mile north on the Upper East side of Manhattan. The Welltower community will be 15 stories tall, which is unusual for seniors housing, but not for me. The CCRC I am most familiar with from personal experience has 25 stories and is located in Florida in a considerably less urban environment. Height was never an issue,... Read More »
Brookdale Laser Focusing On The Future
With fewer distractions and increasing stability, a renewed focus on increasing cash flow and value. So, management at Brookdale Senior Living has got some religion. It has been on the road trying to sell their story to investors. And it appears that selling the bulk of their owned real estate is off the table, which I agree with. They will continue with selective dispositions, although not as many as I think they should, and they have basically put their landlords on notice that as leases come up for renewal, they want to negotiate the lease rates down for the underperformers, or they will walk. Also good news. In addition, they are under-promising with the expectation that they will over... Read More »
Medicaid and Assisted Living
As Managed Care expands into Medicaid, we may see more Medicaid-funded assisted living, and the jury is still out on what that means. Let’s face it, there will be a growing number of people over age 80 who will not be able to afford to live in assisted living and memory care communities, at least not the ones being built today. Even fewer can afford skilled nursing, with monthly private pay rates two and three times higher than assisted living. So what’s going to happen? Some people say home- and community-based care will fill the void, but that is not always cheaper nor the best option. Some states have done a good job with Medicaid waivers to financially support lower-income seniors who... Read More »Schedule a demo
Gain access to the best healthcare and long-term care investment intelligence, data, and analysis.
