• “Lument” Lighting Up The Senior Care Lending World

    The combined firms of Hunt Real Estate Capital, RED Capital Group and Lancaster Pollard are moving forward together under one brand name: Lument. According to ORIX Real Estate Capital’s CEO James Flynn, the name was chosen for its associations with light and energy, emphasizing the combined company’s expertise, products and resources along with... Read More »
  • Getting Ahead of Labor

    The pandemic has riled operations at seniors housing communities and skilled nursing facilities across the country, and the long-term effects are still somewhat unknown. But one issue that was top of mind for many operators before COVID and will still be for years to come is labor. There are several facets to the issue too, from finding and... Read More »
  • Blueprint Handles Two East Coast Sales

    Blueprint Healthcare Real Estate Advisors handled a couple of sales on opposite ends of the East Coast. First, in Connecticut, Steve Thomes and Chris Hyldahl sold two skilled nursing facilities that were acquired by a private investment group based in New York City as part of a 10-SNF portfolio in late 2017. Combining for 197 licensed beds, one... Read More »
  • The Prestige Group Sells Vacant Personal Care Home in Pennsylvania

    Jim Baranello of The Prestige Group had an uphill battle marketing for sale a vacant personal care facility in the northeast area of Philadelphia, Pennsylvania during the pandemic, but he got the deal done. Owned by a family for nearly 20 years, the 35-bed facility was originally built in 1910 but converted to personal care in the last 20 years.... Read More »
  • CCRC Bond Financing Rocks This Year

    A week does not go by without another announcement about either a refinance of a not-for-profit CCRC or a new financing with the proceeds being used to expand or renovate, and even new, ground-up CCRC developments. Expand, during the worst pandemic in 100 years when seniors housing occupancy is plummeting? That’s what we said.  In our first... Read More »
Getting Ahead of Labor

Getting Ahead of Labor

The pandemic has riled operations at seniors housing communities and skilled nursing facilities across the country, and the long-term effects are still somewhat unknown. But one issue that was top of mind for many operators before COVID and will still be for years to come is labor. There are several facets to the issue too, from finding and attracting skilled labor to retaining staff to paying wages that are increasing every year. The pandemic has sent the unemployment rate straight up, but how many of those newly unemployed are really qualified to work in a senior care facility? Or want to. Probably very few. And retaining staff not adequately trained or prepared for the work is a hard... Read More »
Labor Costs During The Pandemic

Labor Costs During The Pandemic

Rising labor costs during the pandemic are hurting the bottom line, but there are solutions. As you may have heard, we will be hosting a webcast next week on the labor problems affecting seniors housing and care, and we hope to provide you with some solutions.  The panelists include the founder of Matchwell, a relatively new company whose goal is to rid every community of agency labor and overtime. Wouldn’t that be nice. Plus, we have someone from Benchmark Living which has some of the most innovative practices out there to keep and recruit new employees. Finally, the manager of a 105-unit community will explain how for 25 years she has kept annual turnover at just 20%, something most of... Read More »
What Covid-19 Has Done

What Covid-19 Has Done

The American Seniors Housing Association, together with HealthTrust, contacted over 30 seniors housing operators that operate more than 180,000 units about what has happened to their occupancy levels, revenues, expenses and additional costs pertaining to the pandemic between March 1 and June 30. The results were eye-opening.  One interesting result was that despite being the most need-driven, assisted living and memory occupancy dropped by 661 and 651 basis points, respectively, compared with 404 basis points for independent living in the four-month period. In addition, large operators (more than 3,500 units) appeared to fare worse than small (less than 2,000 units) or... Read More »
How Many Waves Will There Be? 

How Many Waves Will There Be? 

Anyone watching the news these days is well aware that we are seeing either the second or third wave of the coronavirus pandemic. Six months ago, it was all about when the “second” wave was going to hit. Not to be a Debbie Downer, but why not three or four waves, or more, before a vaccine is approved and distributed. And the last poll we saw indicated that perhaps up to 50% of the population would not get the vaccine. Will the waves then keep on rolling in?   Less than 2.5% of the U.S population has tested positive for COVID-19, and while the percentage may not grow, the absolute numbers will. No matter how careful providers are being, it could still enter their buildings. What... Read More »

Seniors Housing Occupancy Hits A New Low

NIC wrapped up its virtual conference this week, and it’s safe to say that those in attendance got a good education on what it’s like to close a deal during the pandemic, to operate communities safely and successfully, and (hopefully) when business will be back to normal. At the end of the conference, NIC also released its third-quarter occupancy numbers, and they showed the industry has a long road to recovery. Across the 31 primary markets, seniors housing average occupancy fell from 84.7% in the second quarter to 82.1% in the third quarter, a drop of 260 basis points. That followed a 280-basis point decline in the second quarter.   Clearly, COVID-19 and the resulting lockdowns... Read More »
Labor Costs During The Pandemic

M&A Market Pick-up?

Finally, seniors housing and care transactions are picking up speed after a six-month slowdown. With just over two months to go in what has been the most unusual year I have ever experienced, it seems like the senior care M&A market is finally picking up. Not only was the $702 million Welltower sale completed with one of the most aggressive cap rates I have ever seen, with or without a pandemic, but smaller ones are getting done as well. And not all of these are postponed deals from last March. I think all of us are just a little bit tired of the inertia of the past six months, and everyone wants business to be back to at least 75% of normal. The reality is that there is plenty of... Read More »