WASHINGTON, D.C. — Half of assisted living communities are currently operating at a loss, with 73 percent of them operating at a profit margin below 3 percent. The “frightening” revenue numbers reflect the even more dire results in skilled nursing, where more than half of communities are operating at a loss. That’s according to a recent survey by Washington, D.C.-based National Center for Assisted Living (NCAL). Respondents included 193 assisted living providers who took the survey between Aug. 8 and Aug. 10. Among other results, 64 percent of assisted living …
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AHCA Survey: Over Half of Skilled Nursing Facilities Operating at a Loss Due to Pandemic
by Jeff Shaw
WASHINGTON, D.C. — Over half of skilled nursing facilities are currently operating at a loss, with 72 percent saying they won’t survive another year at the current pace. That’s according to a recent survey by the Washington, D.C.-based American Health Care Association (AHCA) and National Center for Assisted Living (NCAL). The survey polled 463 facilities between Aug. 8 and Aug. 10. Of the respondents, nearly 90 percent said they are on either a razor-thin profit margin or operating at a loss, with 55 percent saying they are currently operating at …
ASHA, ProMatura Survey: Potential Residents Haven’t Changed Opinions of Seniors Housing During Pandemic
by Jeff Shaw
OXFORD, Miss., and WASHINGTON, D.C. — Despite a slew of bad press related to the ongoing COVID-19 pandemic, prospective residents and their families have largely not changed their opinion of seniors housing. That’s according to a new survey released by D.C.-based American Seniors Housing Association and Oxford-based research firm ProMatura. The survey polled prospective customers of 131 participating communities, all private-pay seniors housing. Respondents were over 75 years of age with an income over $35,000 per year living in one of 15 metropolitan areas. Of the respondents, 63 percent said …
Exclusive Webinar: Seniors Housing Valuations Have Bright Long-Term Future Despite COVID-19 Challenges
by Jeff Shaw
Although the coronavirus pandemic has created unprecedented challenges for the seniors housing sector, on the valuations side of the equation the future is still promising. That’s according to a panel of industry experts on an exclusive Seniors Housing Business webinar titled “Market Valuation: How are Seniors Housing Valuations Weathering the Pandemic?” Moderated by JP LoMonaco, president of appraisal and consulting firm Valuation & Information Group, the panel included Kevin Pascoe, chief investment officer at seniors housing REIT NHI; Rich Lerner, executive vice president at Housing & Healthcare Finance; Chris Kronenberger, managing …
Seniors housing operators have responded to the COVID-19 pandemic through a variety of changed procedures, such as increased infection protocols, limited visitations and meal deliveries. Now, the next step is to make sure those procedures are sustainable for the long term, as the virus shows no signs of going away in the near future. “I think back to when we were first realizing COVID-19 was really going to affect us. If we all locked down for a few weeks, the curve would flatten and we could all go back to …
Survey Shows Bipartisan Support for Increased COVID-19 Funding for Senior Living Industry
by Jeff Shaw
ALEXANDRIA, Va. — A new national survey, conducted by McLaughlin & Associates, shows 80 percent of voters support COVID-19 relief funding for senior living communities. The strong support is consistent across party lines and shows that three-quarters of the electorate are more likely to vote for a candidate who supports increased COVID-19 relief funding for senior living providers in the 2020 elections, according to Alexandria-based seniors housing association Argentum. “These past few months, COVID-19 has significantly impacted the residents and staff of our nation’s senior living communities, with many communities …
WASHINGTON, D.C. — Despite the ongoing effects of the COVID-19 pandemic, which has a higher mortality rate among seniors than other age groups, a recent survey shows that the majority of consumers still find independent living and assisted living to be an appealing option for seniors. The survey was commissioned by the American Seniors Housing Association (ASHA), a D.C.-based organization serving the seniors housing industry. Research firm ProMatura Group is conducting the study, which is still ongoing and polls prospective customers from the lead lists of 115 ASHA member communities. …
ANNAPOLIS, Md. — Assisted living properties experienced a 90-basis-point decline to 85.2 percent stabilized occupancy in May 2020. This compares with 86.1 percent in April and 87.8 percent in March, the first full month of the COVID-19 pandemic. The data comes from the National Investment Center for Seniors Housing & Care (NIC), based on the Annapolis-based organization’s top 31 U.S. markets. In response to the coronavirus outbreak, NIC has started reporting data monthly rather than quarterly. The impact was less severe for independent living properties, which experienced a 60-basis-point decrease …
CHICAGO — Despite the struggles of the seniors housing industry during the COVID-19 outbreak, investors in the sector expect capitalization rates on transactions to increase. The expected increase applies to all types of seniors housing, as well as all from Class A to Class C. In all cases, investors predicted cap rates higher than their recent averages, but still lower than the most recent high. The results came from an update to the JLL Spring 2020 Investor Survey, meant to reflect changes in approach following the onset of the pandemic. …
Technology Can Protect Residents, Provide Programming During Pandemic, Say SHB Webinar Panelists
by Jeff Shaw
With the COVID-19 outbreak forcing seniors housing residents to physically isolate from each other, technology may be the key to preventing both further virus spread and social isolation. “Senior living communities have for decades used a platform of pull cords, call buttons and pendants,” said David Wardlaw, vice president of business development for digital health solutions at Philips. “This technology cannot support more infection control requirements. It is not equipped to slow down the spread of COVID-19.” New technology to better stop the spread of coronavirus includes wearable bracelets that …