LTC Properties Provides Rent Relief
How do you spell relief in the pandemic? Reducing the rent escalators that REITs charge their tenants. That is precisely what LTC Properties has decided to do in 2021, and we wonder if a few other REITs may follow suit. Several REITs already agreed to rent deferrals in 2020 as their tenants were struggling with census and operating costs. But those deferrals have to be paid back at some time, since they were simply “deferred.” But under LTC Properties’ plan, the 2021 rent escalator will be cut by 50% and presumably not have to be paid back. While it may be painful for LTC and its shareholders in the short-term, it was the right thing to do because many tenants... Read More »
Navigating the Senior Care Lending Market with Don Kelly of Locust Point Capital
Ben Swett, the Editor of The SeniorCare Investor, sits down with Don Kelly, Managing Director of Locust Point Capital, to discuss the current state of the seniors housing and care lending environment. Ben Swett, Editor of The SeniorCare Investor – Don Kelly is the Managing Director of Locust Point Capital where he is responsible for loan originations and structuring. Don has more than 25 years of experience in the seniors housing and skilled nursing industry and he’s also been involved in the originating, structuring and underwriting of approximately $5 billion in transactions. So, Don, you seem like the right person to turn to for all our lending... Read More »
Will Brookdale Sell Its Home Health Business?
Rumors were afloat this week that Brookdale Senior Living might be running a sales process for its home health and hospice business. Quietly, it became one of the largest home health providers in the country, with revenues of $447 million in 2019, inclusive of hospice and a very small therapy business. We happen to think home health and hospice is a natural for large senior living providers with a built-in customer base off of which to leverage growth outside their communities. It is also a nice lead-in for full time residence into some of their communities. Today, about 50% of the home health and hospice revenues are “in-house,” while 50% are outside of Brookdale’s... Read More »
The Vaccine Is Here, Now What
The coronavirus vaccine appeared sooner than most people expected, but the roll out may be bumpy. Senior care providers and residents are about to be the first people vaccinated against COVID-19. That is great news, and putting your politics aside, no one, me included, thought this would happen before year end. But it did. Now what? The media loves to film the first person getting a shot, but the full roll out will be a bit more cumbersome than the staff at a single hospital. Nursing homes and assisted living communities are on the priority list, but because their residents are healthier, IL communities are not. They will have to wait. And that is wrong. The big unknown is how many... Read More »
Capital Senior Living Update
On Wednesday we wrote about the sudden rise in the share price of Capital Senior Living, doubling in value in a couple of weeks, which usually indicates rumors of some sort of a potential capital transaction. But the only news that came out was the stockholders’ approval of a 1-for-15 reverse stock split. What was weird was that at the annual shareholders’ meeting they were given three options. Including the one above, there was also a 1-for-10 and a 1-for-20 split, approving all three and letting the Board decide which one to go with. We have never seen that happen. With the 1-for-15 reverse split, Capital Senior Living will now have just 2,084,596 shares... Read More »Schedule a demo
Gain access to the best healthcare and long-term care investment intelligence, data, and analysis.
