Healthcare, Senior Living, Economics
A trend I have been following for some time is the shift in demographics worldwide or more specifically, the growth in seniors coupled with the fall off of birthrate in virtually all first-world countries. On this subject, a new report from the Joint Center for Housing Studies at Harvard University caught my attention. New Projections … Read more
As we continue the political transition post Donald Trump’s election victory, healthcare reform and the campaign promise to Make America Healthy Again (MAHA) is making news. At the center of the MAHA movement is Robert Kennedy, Jr., an evangelist of lifestyle changes, particularly within the U.S. diet, to promote health. Kennedy openly states, and correctly … Read more
Across my multiple decade career, I have spent a great deal of my work life mentoring and coaching executives and boards on developing effective habits and systems. As I have done a fair amount of turnaround work, building a high performing organization was as much about creating effective leaders and leadership habits as it was … Read more
Back in December of 2023 (late), I wrote a post with my 2024 Outlook. I dusted off the “old” crystal ball and peering deeply, I offered a few prognostications. The post is available here: https://rhislop3.com/2023/12/27/wednesday-feature-outlook-for-2024/ Below are the predictions along with a quick review of how close, or not, I was at the time. I’ll … Read more
Last Friday, the Illinois Supreme Court issued a ruling regarding whether healthcare providers (Assisted Living included) have immunity against negligence claims, COVID and non-COVID related. The decision is available here: James v. Geneva Nursing & Rehabilitation Center, LLC, 2024 IL 130042 The Illinois Supreme Court’s majority opinion stated that healthcare facilities in Illinois, which provided … Read more
A recent federal funds rate cut by the Federal Reserve of 50 bps has created a bit of optimism in the M&A and capital development arena for senior living and senior housing. The expectation of more Fed rate cuts going forward undergirds the optimism BUT…Overall economic conditions remain sketchy including inflation which, ticked a notch higher … Read more
There hasn’t been much open discussion this political season with regard to health policy/healthcare. What there has been is predominantly centered around abortion, reframed as reproductive healthcare or women’s healthcare. To a lesser extent, the Harris campaign has touted prescription drug price reductions, including a $2,000 cap on Medicare out-of-pocket drug costs beginning in January … Read more
According to a recent Fitch Ratings report, employment levels at life plan/continuing care retirement communities (CCRCs) and SNFs are still 5.90% lower than before the pandemic. Life Plan Communities Labor Tracker: September 2024 (fitchratings.com) Per Fitch, the causes are many, but the number one challenge is demand for staff which exceeds supply. Overall, options for … Read more
Among the many challenges providers have faced economically, higher borrowing rates (interest) has remained in the top three. For senior living, higher capital costs and tighter borrowing conditions (LTV, more restrictive covenants, etc.) have all but slowed new development to a halt. Higher borrowing rates are at the bank level, a function of Federal Reserve … Read more
Not sure how many times I’ve heard the worn phrases of “think outside the box”, “brainstorm”, “explore new perspectives”, across my career. Now, I’m not saying that these concepts don’t have merit. I am however, saying that most often, the best innovation comes from “thinking inside the box”. Systematic inventive thinking: the power of thinking … Read more