Capital Senior Living reported Thursday that September average occupancy was 81.4%, an increase of 20 basis points (0.2%) from August and of 610 basis points (6.1%) from the pandemic low average monthly occupancy of 75.3% in February 2021.
This marks seven consecutive months of growth for Dallas-based Capital. That’s positive news, of course, as the U.S. economy inches its way back from the pandemic. September’s growth, however, was slow compared with previous months.
The deceleration was caused in part by capital constraints and expense management activities that delayed room turns for potential resident tours and move-ins, the company said in its press release.
Capital is working on an agreement to raise up to $152.5 million https://www.mcknightsseniorliving.com/home/news/business-daily-news/capital-senior-living-answers-backlash-from-shareholders-about-proposed-conversant-deal/ through the private placement of convertible preferred stock to affiliates of Conversant; Conversant has agreed to backstop a rights offering and provide an incremental $25 million accordion for future investment. The controversial plan will be voted on by shareholders at an Oct. 22 meeting, which Capital announced last week has been moved from an in-person meeting to a virtual one.
Leading indicators, such as leads, tours and overall sales activities, continued to increase sequentially in the third quarter compared with the second quarter, the company reported