Business Daily News - McKnight's Senior Living

Business Daily News

Business briefs for Monday, June 1

Argentum: Impact of COVID-19 on senior living could be $50 billion … House passes bill extending PPP forgiveness deadline and adjusts how much must be use for payroll expenses … U.S. mortgage applications rise for sixth straight week … FCC awards United Methodist Communities with a $909,500 grant to provide its SNFs with remote patient monitoring and telehealth services during pandemic

Federal appeals court rules that Affinity Living Group is entitled to insurance coverage related to False Claims Act lawsuit

A federal appeals court ruled this week that StarStone Specialty Insurance Co. must cover Affinity Senior Living’s costs to successfully defend against a $60 million False Claims Act lawsuit alleging the North Carolina-based operator engaged in billing fraud. The ruling overturned a lower court’s decision in October 2018 that StarStone had no obligation to cover Affinity’s legal costs.

Business briefs for Friday, May 29

Healthcare REITs post 14% gain last week: Nareit … Diversified Healthcare Trust files for offering of $500M senior notes due 2025 … Eight in 10 seniors have some form of debt: survey … Greystone provides $8.6M construction loan for New York seniors housing community … Coastal Rim Properties acquires land for Honolulu seniors housing development … KWA Construction breaks ground on Texas independent living facility

Half of recently unemployed Americans plan to dip into retirement savings: survey

About 50% of recently unemployed Americans with retirement savings already have removed funds from their retirement savings accounts or plan to do so soon. That’s according to a Bankrate survey of more than 1,300 working or recently employed adults. The survey also found that nearly one-in-five Americans have reduced retirement fund contributions since the pandemic began.

Business briefs for Thursday, May 28

SC&H Capital announces joint venture with two healthcare consulting firms to help nursing homes and assisted living facilities survive COVID-19 … Monticello provides $30M in financing for acquisition and refinancing of three Kentucky and North Carolina SNFs … HJ Sims closes financings for three seniors housing transactions … Blueprint brokers sale of three Colorado SNFs … Affordable Housing Investment arranges sales of two Iowa affordable senior housing communities

More than a quarter of Americans plan to postpone retirement: survey

Amidst rising unemployment, low interest rates and shrunken 401(k) balances, more than one-fourth of Americans now plan to postpone their retirement, and four in 10 worry they won’t be able to retire at all. That’s according to a 1,069-person May 2020 survey from Simplywise, a retirement income technology company.

Business briefs for Wednesday, May 27

Zimmet: Regulators must address local payment inequities from federal bailout funds … Walker & Dunlop structures $37M in financing for Illinois and Michigan skilled nursing and supportive living facilities … Panorama releases plans for Los Angeles assisted living and memory care community … Construction completed on luxury Civitas Senior Living community in Fort Worth

Business briefs for Tuesday, May 26

SNFs to receive nearly $5 billion in funding from federal government to fight COVID-19 as senior living gets $0 … Housing tax credits helping Pennrose move forward with development of Cincinnati’s first designated LGBTQ-friendly senior affordable development … Housing Trust Group breaks ground on Miami seniors housing community … Atlantic Housing Partners breaks ground on $16.4M Florida affordable senior community … Berkadia secures $5M in HUD financing for Florida SNF
Mercedes Kerr

Belmont Senior Living president: Operating costs triple when facility has a positive case of COVID-19

A positive case of COVID-19 can more than triple a senior living operator’s equipment costs to prevent the virus’ spread, according to Belmont Village Senior Living President Mercedes Kerr. Kerr joined National Investment Center for Seniors Housing & Care Chief Economist Beth Mace Thursday for a NIC-sponsored webinar discussion on the ways COVID-19 is affecting senior living operators.

It’s time to re-think nursing home ownership, say senior care experts

In early April, the non-profit San Francisco Campus for Jewish Living’s skilled nursing facility began accepting COVID-positive patients discharged from hospitals, under a directive from the state of California. Since then, none of its prior residents have been infected, nor have any of its staff taking care of the new COVID-positive patients, according to Daniel Ruth, the continuing care retirement community’s president and CEO.

Business briefs for Friday, May 22

CFO survey: Near-normal operating levels not expected until next year … HUD-assisted senior housing communities still waiting for CARES Act approved funds … DOL issues final rule on incentive-based pay for employees whose hours vary week-to-week … MBK Senior Living acquires Kirkwood Orange senior living community … Walter & Dunlop finances development of Washington, DC affordable seniors housing community with HUD Twinning loan

Seniors housing new normal likely to include updates to dining, beautician services, security measures and more: NIC

Virginia-based LifeSpire Living has a tentative date set of June 10 for the reopening of its four continuing care retirement communities to visitors and new residents. But as Jonathan Cook, the operator’s president / CEO shared in a recent National Investment Center for Seniors Housing & Care-sponsored blog, his communities have incorporated notable changes to keep residents safe, healthy and happy, even though they will likely take a toll on the operator’s bottom line.

Business briefs for Thursday, May 21

Community banks take the lead in PPP lending … Panorama unveils plans for Los Angeles assisted living and memory care center … Love Funding secures FHA loan for Missouri senior care campus … Red Cedar Development receives approval for Michigan mixed-use development that includes senior living facility

‘Business pandemic’ will spur lawsuit wave: M&A litigator

Despite efforts by Republican lawmakers to create stronger liability protections for healthcare workers and small businesses hammered by the pandemic, COVID-19-related lawsuits still are likely to be pursued, New York M&A litigator Martin Lipton told attendees of an Economic Club of New York teleconference on Monday.

Business briefs for Wednesday, May 20

Seniors housing occupancy decreased by 1.1 percentage point, to 88.7%, and SNF occupancy was down 2.2 percentage points to 84.7% in April, according to NIC’s MAP Data Service … New legislation aims to support affordable senior housing residents and operators during pandemic …CLA develops expense tracking tool to help economic fund relief recipients with compliance … CBRE provides $58 million in refinancing for three Carlton Senior Living facilities … Watercrest breaks ground on Georgia luxury assisted living and memory care facility

Industry efforts to lure back workers see mixed results

More than 36 million Americans have filed initial claims to collect unemployment insurance in the eight weeks ending May 9, according to the Department of Labor. To attract workers from other sectors displaced by the pandemic, Argentum and the American Seniors Housing Association last month launched a new resource powered by Arena, entitled Senior Living FastMatch.

Fed chairman: GDP could shrink by 30% but depression unlikely

Although the U.S. gross domestic product could shrink upwards of 30% in the second quarter, Federal Reserve Chairman Jerome Powell told 60 Minutes Sunday that the economy will avoid a Depression-like economic plunge over the longer term.

Business briefs for Tuesday, May 19

Organizational data can help operators preserve financial balance in times of crisis … Vium Capital partner: Opportunities exist for well capitalized and experienced owner operators … Highridge Costa, SVA Architects release plans for mixed-use California seniors housing community

SBA clarifies PPP certification requirements, extends ‘safe harbor’ deadline

The Small Business Administration released updates to its frequently asked questions document about the Paycheck Protection Program late last week, providing additional clarification on its “economic necessity” certification. Over the weekend, the Wall Street Journal also reported that lawmakers and government officials are expected to make some additional revisions to the program, giving firms more time and flexibility to spend funds.

Analysts mull recovery prospects for seniors housing REITs

A week after the sector’s largest companies reported first-quarter earnings, several analysts have shared their views on how healthcare real estate investment trusts are faring amidst the ongoing COVID-19 pandemic, according to an S&P Global Market Intelligence article.

Moody’s describes turmoil many operators are experiencing

The combination of higher costs to protect residents and an inability to generate incremental revenue through new admissions due to the coronavirus pandemic is placing many senior living communities and nursing homes in “financial turmoil,” according to a research report published Friday by Moody’s Investors Service.

Business briefs for Monday, May 18

Blueprint negotiates sale of Arizona SNF … Casa Builders and Developers begins construction on Massachusetts senior living community … New York nursing homes shielded from most COVID-19 lawsuits

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