» Center Management Group of Flushing, NY, will pay $145 million to purchase five nursing facilities and two senior living communities from the Archdiocese of Philadelphia. The company currently operates 15 nursing facilities across New York and New Jersey. As part of the deal, the buyer has pledged to maintain the Catholic character of the nursing homes.
A hospitalist company that works with thousands of facilities is facing federal charges that its clinicians routinely overbilled Medicare and Medicaid, authorities recently announced.
Proposed Medicare payment changes have put the nation's skilled care companies at odds with inpatient rehabilitation providers, and the two sides were making strident arguments in front of lawmakers at press time.
» Berkadia Commercial Mortgage LLC acquired Keystone Commercial Capital, a commercial mortgage banking company based in Scottsdale, AZ. Keystone services more than $2 billion in commercial real estate loans. Berkadia plans to add 16 employees to its offices.
Kindred Healthcare increased its bid for Gentiva Health Services to about $534 million, and plans to take the offer directly to shareholders.
Real estate investment trust giant Ventas took a huge step in bolstering its private-pay assets when it announced it would acquire American Realty Capital Healthcare Trust for $2.6 billion in cash and stock. The transaction is expected to close later this year.
» Four bidders have emerged as finalists to buy Griffin-American Healthcare REIT II Inc., in a transaction that could value the company at more than $3.6 billion.
Sunrise Senior Living has promoted Chris Winkle to its top executive post. The firm's former COO replaces Penny McIntyre, who had been on the job for less than six months.
Skilled nursing facilities' average occupancy rate continued to rise in the first three months of 2014, while absorption flipped into positive territory for the first time in almost a decade, according to the latest quarterly figures from the National Investment Center for the Seniors Housing & Care Industry.
» Compass Health has agreed to a $1.1 million settlement in a class action lawsuit alleging that the skilled nursing provider did not pay overtime or allow workers to take needed breaks. The firm operates seven skilled nursing facilities and two assisted living communities in the coastal area between Los Angeles and San Francisco.
Long-term care operators will face additional pressure to improve, said William Shrank, Ph.D., chief scientific officer for CVS/Caremark.
The rates nursing home charge and the prices they fetch on the market have hit new highs, reports reveal.
» Country Villa Health Services, which operates 19 skilled nursing and assisted living facilities in California, has filed for Chapter 11 bankruptcy. Pending class-action lawsuits and cash flow problems led to the filing, chief executive Stephen Reissman told The Wall Street Journal. The company faces seven class action suits, some labor related and some alleging improper care. The company intends to keep its facilities open while it reorganizes.
The Ensign Group's annual results for 2013 came in just under management's guidance for the first time in the company's history, the provider announced.
Brookdale Senior Living is poised to become the largest senior living provider in the country, through a $2.8 billion acquisition of Seattle-based Emeritus Corp.
» Catholic Health will sell three of its seven long-term care facilities to Comprehensive Healthcare Management, according to local reports. A price has not been finalized for the three facilities in the area around Buffalo, NY. Catholic Health's remaining LTC facilities will be aligned more closely with the company's hospitals, reports stated. CHM is based on Long Island, NY.
Brookdale Senior Living is revisiting its benefits policies for same-sex couples after an employee filed a complaint with the Equal Employment Opportunity Commission in January. The worker alleged that Brookdale denied health benefits to her wife after the couple got married in Connecticut.
Companies in the post-acute sector have been seeking deals to diversify their services and limit their reliance on Medicare, according to a recent analysis from investment banking firm TripleTree.
» The Cahill Group, based in Chicago, has acquired a portfolio of Rosewood Care Centers skilled nursing facilities for $250 million. The SNFs are in Illinois and Missouri. The new company overseeing operations will be called Cahill Rosewood.
A California long-term care provider has become the first to obtain financing through a new revolving credit facility offered by Freddie Mac.
A number of the nation's largest nursing facility corporations might have better business practices because their headquarters are in communities where religion is important to many people, new study results suggest.
» IPC The Hospitalist Company has acquired four affiliated post-acute practices in White Plains, NY. Known collectively as Park Avenue, the affiliated practices serve more than 120 skilled nursing and other post-acute facilities, according to co-owner Brad Markowitz. IPC is a physician group offering services in more than 800 post-acute facilities.
Omega Healthcare Investors closed a $525 million deal to acquire 55 skilled nursing facilities.
Brookdale Senior Living is known as one of the largest U.S. assisted living operators, but the Tennessee-based company has ambitious plans to establish itself as the national leader across the whole continuum of care.
» Brookdale Senior Living workers in the Senior Care division will not receive merit increases due to Medicare reimbursement cuts and therapy caps, the Nashville-based company stated in an email to local reporters.
Senior living companies pursuing Department of Housing and Urban Development financing should expect delays, one expert said.
Kindred Healthcare, one of the nation's largest long-term care operators, has completed the first phase of a repositioning plan and is entering a period of growth, company leaders recently announced.
» The Evangelical Lutheran Good Samaritan Society partnered with AARP to pilot the "Connecting to Community" program to reduce social isolation. Residents at four Good Samaritan locations received iPads and six months of training.
High-profile long-term care veterans have teamed up to create a new senior housing investment advisory group based in Chicago.
Five Star Quality Care recently transferred operations of two rehabilitation hospitals in Massachusetts to Reliant Hospital Partners, marking the latest move in the company's dramatic shift toward private pay operations.
» Alana Healthcare has continued to partner with skilled nursing facilities in the Southeast as it transitions from a durable medical equipment supplier to a healthcare management company. Its chronic obstructive pulmonary disease program has helped SNFs reduce hospital readmissions 73%, according to the company.
Trilogy Health Services, which operates 76 senior living communities in the Midwest, is looking to expand its headquarters to support significant growth.
Catholic Health Care Services of the Archdiocese of Philadelphia, one of the nation's largest faith-based long-term care providers, has announced it will sell its six nursing homes and one assisted living facility to help close a huge budget deficit.
Diversicare is terminating its lease on 11 Arkansas nursing facilities, exiting that market after more than 20 years.
Boyd Hendrickson, a transformative figure in long-term care while at the helm of Skilled Healthcare Group, will be retiring as the company restructures its balance sheet and administrative services.
» Cambridge Realty Capital Companies recently arranged $24 million in Housing and Urban Development loans to refinance skilled nursing facilities with a total of 549 beds in three states. The loans will go to Alden Northmoor Rehabilitation and Health Care Center in Illinois and four North American Health Care Inc. properties in California and Utah.
Health Care REIT is buying the remaining 20% equity interest in a Merrill Gardens 38-property portfolio, the two companies announced the final week of June. The additional $173 million investment will give full ownership to the REIT, which has agreed to a triple-net lease with Emeritus Senior Living to manage the properties. A third-quarter closing is anticipated.
Kindred Healthcare will split with PharMerica and instead partner with Omnicare in 2014, marking a significant change in the landscape of long-term care pharmacy services providers.
» Atria Senior Living announced tennis legend Billie Jean King will help develop and promote an active aging program for residents, to decrease the risk of falls and extend active lifestyles.
Saber Healthcare Group has made its first appearance on the American Health Care Association's annual list of the 50 largest U.S. nursing facility companies.
Extendicare, a major North American long-term care operator, may sell off its 158 U.S. facilities before the end of the year. The company's move to separate its Canadian and U.S. businesses could strike an ominous note to other providers as the Affordable Care Act speeds toward full implementation.
Extendicare Health Services recently completed a $37.7 million portfolio refinancing of six SNFs in the Midwest. Ziegler Financing Corporation closed the transaction.
Large real estate investment trusts are looking to get out of the skilled nursing sector, according to the Wall Street Journal.
A turbulent spring at AdCare Health Systems Inc. included ongoing fallout from accounting errors that led to the appointment of a new chief financial officer, as well as a potential change in majority control of the company.
Benedictine Health System President and CEO Dale M. Thompson will retire in December. Thompson is a former president of the American Health Care Association.
Advocat Inc., which operates 48 skilled nursing centers, changed its name to Diversicare Healthcare Services as of March 15. Its facilities already operated under the Diversicare name, and President and CEO Kelly J. Gill said the name change is to unify branding.
Aviv REIT Inc. netted nearly $279 million in an initial public offering of common stock. The Chicago-based company first tried to go public in 2008 but was stopped by the economic crisis, and a 2009 attempt was met with investor resistance.
» Emeritus Senior Living recently said it wants to hire 1,000 veterans by 2018. The assisted living and skilled nursing provider says this is the first such veteran recruiting program in senior care. Emeritus has identified a wide range of positions veterans may be qualified for, including resident care director and driver.
Brookdale Senior Living is launching a rebranding initiative under new CEO Andy Smith. The company serves about 66,700 residents in skilled nursing centers and senior living communities.
Kindred Healthcare will continue to offload its nursing facility operations leased from Ventas, according to President and CEO Paul J. Diaz.
Gulf Coast Healthcare, LLC will acquire 25 skilled nursing facilities in Alabama, Mississippi and Florida, using a $168.8 million five-year term loan. After this acquisition, Gulf Coast will operate a total of 69 SNFs, all in those three states. Capital One Bank led the financing by providing a $63.8 million secured loan.
Ventas Inc. anticipates $386 million in 2012 net operating income after management fees from its private-pay senior housing communities managed by Atria Senior Living Inc. and Sunrise Senior Living Inc.
In a first for Native Nations in Arizona, the Tohono O'odham Nursing Care Authority (TONCA) has expanded the campus of an existing eldercare facility by opening a $1.2 million assisted living facility on the grounds.
National HealthCare Corp is buying six nursing homes from landlord National Health Investors for $21 million, the company announced.
Golden Living announced in January it reached a settlement totaling more than $613,000 with the Office of the Inspector General of the Department of Health and Human Services, the Department of Justice and the state of Georgia.
Even with Medicare and Medicaid payment pressures, Kindred Healthcare's RehabCare contract therapy division is holding steady, the company announced at the end of October.
Genesis HealthCare is partnering with Johns Hopkins Hospital's Bayview campus in a $20 million project that may force many analysts to revamp skilled care bed valuations — and the nature of hospital-SNF alliances.
Seniors housing continues a comeback, but operators need to be prepared for the expanding role of managed care, experts said during the National Investment Center for the Seniors Housing & Care Industry annual conference in Chicago in mid-September.
Health Care REIT Inc. will acquire Sunrise Senior Living for $844.6 million in cash, creating a mammoth senior living company that will send ripples through the sector.
The Evangelical Lutheran Good Samaritan Society led the list of largest non-for-profit senior living operators in 2011, according to the annual Leading Age/Ziegler 100 report.
Halfway through 2012, senior living providers are having a better time securing credit in order to expand and are seeing better credit rankings.
Ventas Inc. posted a huge gain in the second quarter, with revenues up by almost 70% compared to a year go. The total revenue in the quarter was $616.4 million. A year ago, the revenue was $359.5 million.
Genesis HealthCare agreed in June to purchase rival Sun Healthcare Group in a transaction that should close the second half of 2012.
Capital One Bank closed a five-year $29 million loan for Ciena Healthcare in July.
The former head of the American Health Care Association, Charles "Chip" Roadman II, M.D., will serve as interim president and CEO of Assisted Living Concepts.
Citing the state's lack of tort reform, a major nursing home chain has announced that it is leaving Kentucky.
Company Briefs for June 2012
Moody's Investors Service upgraded Sabra Health Care REIT in mid-April after the long-term care landlord posting its second-best performance in the first quarter, with a total return of 38.8%.
Kindred Healthcare announced it will not be renewing another lease agreement with Ventas for six nursing and rehabilitation centers and two long-term care facilities.
Senior living operators should be cautiously optimistic due to the rebounding economy and increased consumer confidence, a lead economist said in March.
BGC Partners will buy the assets of Grubb & Ellis Co., which filed for bankruptcy in February.
As it recovers from a tough fourth quarter, Kindred Healthcare said it would not renew seven lease bundles containing 64 facilities in 2013.
Griffin-American Health Care REIT II has acquired 10 skilled nursing facilities and a medical office building for $174.3 million.
One of Hollywood's most famous nursing homes has started readmitting residents, and may stay afloat due to a possible agreement with Kindred Healthcare.
Kindred Healthcare Inc. announced in December that Pat Henry has replaced Chris Bird as president of the RehabCare division.
The agreement means holders of shares of Cogdell common stock will receive $4.25 per share. This represents a premium of 8% to Cogdell's closing price on Dec. 23, 2011, and 13% to the average closing price of Cogdell common stock over the previous 30 days, according to Ventas.
The board of real estate investment trust Grubb & Ellis Healthcare Trust voted in November to replace Grubb & Ellis with American Healthcare Investors and Griffin Capital as co-sponsors. It will now be called Griffin-American Healthcare Trust Inc.
Six nursing home companies were removed from Standard & Poor's Rating Service downgrade watch last month. The firm ranked Kindred Healthcare at B+ , and Skilled Healthcare and Sun Healthcare Group both at B. The ratings giant also notably affirmed its junk-level ratings for Drumm Investors LLC, Genoa Healthcare LLC and HCR Healthcare LLC.
The war between Ventas and HCP appears to be over.
Despite the slow creep back toward traditional bank financing, real estate investment trusts (REITS) continued their buying sprees this fall.
The Robert Wood Johnson Foundation and NCB Capital Impact have begun a $10 million, 10-year low-interest credit facility to finance the building of more Green House homes.
Although major nursing home operators have lowered their 2011 outlooks for investors after factoring in reimbursement cuts, experts say some providers may survive better than others in the long term.
After years of legal wrangling, HCP Inc. has agreed to pay the $102 million the courts have said it owes Ventas Inc.
A partnership between Genesis HealthCare and insurance giant Aetna is expected to drive down hospital readmission rates, provide better patient care and save both companies money.
The Ensign Group purchased several long-term care facilities over the summer. It bought nine skilled nursing and assisted living facilities from Careage Management, along with home health agency Careage Home Care, in July.
Faced with a shaky economy and a slash in Medicare reimbursement for 2012, skilled nursing facility operators spent August reassessing their financial strategies.
Ventas Inc. completed its $7.6 billion acquisition of Nationwide Health Properties on July 1, creating the largest healthcare REIT in the U.S.
Brookdale Senior Living will acquire Horizon Bay Realty, adding 90 communities with over 16,000 units to its portfolio. The deal is expected to close in August.
Ventas has once again won a legal victory, with a federal appeals court upholding a $101.6 million damages award in its favor against HCP Inc.
Following its recent move to Louisville, Signature HealthCARE announced it would sink $7 million, up from a projected $5.3 million, into Kentucky.
A long-term care pharmacy company recently announced it had secured $6 million in venture capital, and its CEO says it is ready to take on the major players.
Kindred Healthcare's subsidiaries have acquired four CareSouth home healthcare agency locations in Southern California and the San Jose area.
Sunrise Senior Living and Horizon Bay Retirement Communities operate the first senior care facilities to earn the U.S. Environmental Protection Agency's Energy Star certification.
Golden Living announced that its executive team would be moving its long-time headquarters from Fort Smith, AR, to the Dallas area.
Two deals that collectively totaled more than $10 billion were announced on the same day recently, further showcasing the new found buying power of real estate investment trusts in long-term care.
Two skilled nursing companies maintained strong earnings outlooks for 2011, citing the new Medicare payment system and overall business growth.
HCP Inc., a real estate investment trust, has signed an agreement to purchase the assets of HCR ManorCare Inc. for $6.1 billion from The Carlyle Group, a private investment firm.