Senior Living News Wire

Sunrise Senior Living, Inc. (NYSE: SRZ) announced it has completed the previously announced restructure transactions with three of the lenders to its German subsidiaries, Capmark Finance Inc., Natixis, London Branch, and Fortis Bank, UK Branch. Under the restructure transactions, which were first announced in October 2009, such lenders agreed to settle and compromise claims that they may have had against Sunrise with respect to its German subsidiaries.

Sunrise also announced that it has entered into a partial settlement and waiver declaration with Aareal Bank AG, pursuant to which Sunrise will be released from its operating deficit and payment guarantee obligations with respect to loans previously made by Aareal to certain of Sunrise’s German subsidiaries in exchange for, among other things, a cash payment of EUR 2.1 million (approximately $2.8 million).

Sunrise states that it is working to settle and compromise claims that one remaining lender to its German communities may have against Sunrise.

"I am very grateful for the persistent work of my colleagues, our advisors and our banks to accomplish this restructuring," said Mark Ordan, Sunrise’s chief executive officer.

Click here or the full 8-K

May is Older Americans Month and many organizations are rolling out the red carpet for seniors across the country.  A meeting with the National Council of Senior Citizens resulted in President John F. Kennedy designating May 1963 as Senior Citizens Month, encouraging the nation to pay tribute in some way to older people across the country. In 1980, President Jimmy Carter’s proclamation changed the name to Older Americans Month, a time to celebrate those 65 and older through ceremonies, events and public recognition. As part of Older Americans Month, the US Census Bureau has released statistics that highlights the growing elderly population in the US. Some of the statistics include:

38.9 million
The number of people 65 and older in the United States on July 1, 2008. This age group accounted for 13 percent of the total population. Between 2007 and 2008, this age group increased by 927,305 people.

88.5 million
Projected population of people 65 and older in 2050. People in this age group would comprise 20 percent of the total population at that time.

520 million
Projected 2009 midyear world population 65 and older. Projections indicate the number will increase to 1.53 billion by 2050. The percentage of the world’s population 65 and older would increase from less than 8 percent to 17 percent over the period. By 2050, Europe’s rate would be 29 percent.

4
Number of countries with 20 percent or more of their population 65 and older in 2009: Germany, Italy, Japan and Monaco.

More than 100
Number of countries that could have 20 percent or more of their population 65 and older in 2050.

112 million
The number of people 65 and older in China in 2009, which led the world. China’s older population is expected to reach 349 million in 2050.

9.7%
Poverty rate for people 65 and older in 2008, statistically unchanged from 2007. There were 3.7 million seniors in poverty in 2008, statistically unchanged from the previous year. The corresponding rate for the population as a whole was 13.2 percent.

$239,400
Median net worth for families in 2007 whose head was between 65 and 74. The corresponding median for all families was $120,300.

Homeownership

80%
Percentage of householders 65 and older in 2008 who owned their homes.

“Too often we find ourselves trying to learn about our long term care options in the midst of a crisis when we have to make decisions very quickly,” said Shawn Bloom, President and CEO of the National PACE Association.  “Many loved ones have the goal of remaining at home, which is much more likely if families take the time to educate themselves and plan in advance.” The celebration of Older Americans Month can provide the opportunity to have the difficult discussion with elderly family members and friends about their plans for their future. 

For the full set of statistics, click here.

The TRIL (Technology Research for Independent Living) Centre, Ireland announced this week a new industry partner, GE Healthcare (NYSE:GE). TRIL is a research initiative, founded in January 2007 by Intel Corporation and the IDA Ireland (Industrial Development Agency), to explore the physical, cognitive and social consequences of ageing and design technologies to help address them. The addition of GE Healthcare as an industry partner will help TRIL to extend and expand its research programme. GE joins the TRIL Centre as its second industry partner for 2010, alongside co-founder Intel and academic partners University College Dublin, Trinity College Dublin and NUI Galway. GE Healthcare is investing $3 million in the TRIL Centre.

“We are excited about welcoming a new industry partner with the technology expertise and stellar reputation of GE Healthcare,” says Dr. Brian Caulfield, Academic Director of the TRIL Centre. “Their focus on innovative thinking and commitment to improving healthcare while reducing costs will make them a valuable contributor to our research efforts.”

A key goal of TRIL’s research, which brings together world-class industry and academic experts from multiple disciplines, is to enable older people to live independently in the homes of their choice for as long as possible, with the help of technology—and in the process, to help ease the strain on global healthcare systems as the world’s population ages. This objective aligns with GE Healthcare’s goal of continuously developing innovations focused on reducing costs, increasing access and improving quality and efficiency.

Commenting on the announcement, Agnes Berzsenyi, General Manager of GE Healthcare’s Home Health business says “We are delighted to be part of the TRIL Centre and to be involved in the groundbreaking research being done there. The world is getting older and this is presenting enormous healthcare challenges in the care of elderly citizens and the prevention and management of chronic disease. We are looking forward to working with TRIL to drive innovation in this emerging area and ultimately transforming the lives of elderly citizens.”

Over the last three years, more than 600 older adults have been assessed in the TRIL Clinic and a large number have participated in the TRIL technology home deployment programme. The commitment of GE Healthcare will enable TRIL to expand the pool of participants and build on the accomplishments of the first three years. The addition of GE Healthcare as an industry partner supports TRIL’s strategic vision of securing additional industry partners, from SMEs to multinational companies such as GE and Intel, to advance its important research effort.

Searching to see who’s moving where in the senior housing industry?  You can follow the action here on Movers and Shakers.  Have staffing announcements that you’re proud of?  Send them our way at movers-shakers@seniorhousingnews.com

JCHE Board Selects Schectman as New President and CEO

Jewish Community Housing for the Elderly (JCHE) announced that Amy Schectman, an accomplished and highly regarded leader in affordable and subsidized housing and development in Massachusetts, has been named President and Chief Executive Officer, effective August 16, 2010.  Amy currently serves as the Associate Director for Public Housing & Rental Assistance for the Massachusetts Department of Housing and Community Development (DHCD) where among her many accomplishments she has led the State’s effort to leverage and attract new funding to preserve and restore public housing units for thousands of low-income families.  She also created a sustainability program to install renewable and high efficiency energy systems and launched the first phase of a major water conservation effort expected to save the state $2 million per year by 2012.  Before that, Amy served as Vice President of Real Estate Development at Hebrew SeniorLife where she managed the permitting and design processes that paved the way for the development of NewBridge, a one million square foot multi-generational mixed-use senior campus.  Previously, she was the Economic Development Officer in the Town of Brookline and her earlier experience included serving as the Director of Program and Administration at The Boston Housing Authority.

“After conducting an extensive national search, Amy stood out because of her unparalleled success working to increase affordable housing opportunities for low-income residents over the course of her remarkable career,” says Merle Grandberg, Chairperson of JCHE’s Board of Directors.  “We are very excited to have someone as highly qualified as Amy lead our organization.  As JCHE continues to grow and expand, it’s critical that we have the expertise necessary to maximize and provide quality housing, innovative programs and supportive services for low income residents.  With nearly 1,000 seniors on our waiting list, Amy’s leadership, background and success in the housing industry will ensure that we meet our goals and continue on our current growth trajectory.”

“I was drawn to this unique opportunity at JCHE to lead one of the nation’s most successful communities in providing quality housing opportunities for low income seniors in a rich environment where residents are actively engaged in programming as well as to ensure the preservation of the properties in Brighton, Newton and soon Framingham.   The JCHE name is well known and synonymous with quality senior housing. In keeping with Tikkun Olam (repairing the world) – I look forward to spreading the word to the broader community,” added Schectman.

Schectman will succeed Ellen Feingold, nationally recognized as an expert in the area of affordable senior housing who is retiring after 28 years of distinguished service as President.  Under Feingold’s leadership, JCHE has grown substantially since its establishment in 1965 as the Jewish community’s response to an affordable housing crisis for seniors.  A farewell party for Ms. Feingold is planned for June. She will assist with the transition in anticipation of Schectman’s arrival in mid-August.  The Ellen Feingold Fund for Resident Services has been established in her honor to preserve and enhance the supportive services that have become JCHE’s hallmark under Ms. Feingold’s leadership.

Senior Living Investment Brokerage Forms Milestone Realty Capital, Inc. with Brown as CEO

Senior Living Investment Brokerage announced that it has formed Milestone Realty Capital with Jeff Brown serving as CEO.  Brown is working with clients of SLIB and others in finding financing solutions for commercial real estate and senior housing projects.

HCP Names J. Alberto Gonzalez-Pita as Executive Vice President – General Counsel

HCP (NYSE:HCP) announced that it has hired J. Alberto Gonzalez-Pita as Executive Vice President – General Counsel effective May 17, 2010.

Mr. Gonzalez-Pita previously served as the Senior Vice President, General Counsel & Corporate Secretary of Las Vegas Sands Corp., Executive Vice President & General Counsel of Tyson Foods, Inc. and Vice President & General Counsel of BellSouth International. Before that, he was an executive partner at White & Case LLP, one of the world’s largest law firms. Mr. Gonzalez-Pita is presently the Vice-Chair of the Board of Directors of the Association of Corporate Counsel, an organization of in-house lawyers with more than 25,000 members in 70 countries.

"We are very pleased that Al is joining our senior management team," said Jay Flaherty, HCP’s Chairman and Chief Executive Officer. "He brings outstanding legal and leadership skills to the Company. Al has over 30 years of experience that will prove to be invaluable as we take HCP to the next level."

Edward J. Henning, the current general counsel, will remain with the Company as an Executive Vice President.

Hawaii Kai Retirement Community Introduces Denise Bilodeau as Assisted Living Administrator

Honolulu resident Denise Bilodeau has been hired as assisted living administrator for Hawaii Kai Retirement Community, located on 23 acres in Hahaione valley with views of Maunalua Bay in Honolulu.  In her role as assisted living administrator, Bilodeau oversees the day-to-day operations of the 81-unit assisted living services within Hawaii Kai Retirement Community.  Prior to joining Hawaii Kai Retirement Community earlier this year, Bilodeau was an independent long-term care/nursing home consultant for various clients, including Kaiser Permanente Hawaii. Previously, Bilodeau worked as a nursing home administrator for Avalon Care Center in Honolulu and Hiolani Care Center at Kahala Nui, and as a social worker at Hale Nani Nursing and Rehabilitation Center. She has more than 10 years of experience in all levels of senior care, including assisted living.  Bilodeau earned her bachelor’s degree in social welfare and a master’s in social work, with a gerontology focus, from the University of California, Berkeley.

Nursing homes in Illinois are on “red alert” as that state’s attorney general continues to conduct unannounced raids of long-term care facilities in search of wanted criminals, according to local reports.

A new white paper developed by the American Medical Directors Association highlights successful and effective processes for transferring patients from acute care to skilled nursing facilities.

By Jody O’Donnell, SEO Manager, G5 Search Marketing

Many senior housing and living providers ask the million dollar question: Which directories are the best for me to sign up for?  The answer to the question should end “with regards to my SEO?”  

When developing your target list of directories, first establish a clear objective. Are you trying to get good, trusted citations from directories and improve the consistency with which search engines see your business information across the Web? Or are you trying to drive traffic directly to your website?

The first objective is back-linking while the latter is more about driving traffic and conversions.  This is an extremely important distinction. Deciding which is more important will point you to the best directories to accomplish your goal.

Many directories are built more for search engines than for human users.  It doesn’t take long to look at a directory and identify which audience they are targeting.  One tell-tale sign a directory is targeting search engines is how they list.  If they don’t use images or anything else to give a real live person more information about what your listing is, they are focusing on search engines. Search engine citation style directories will have your business information and little else, as illustrated by this example:

Directories that are more traffic driven sites generally have links back to the pages and have rich content for each listing. This can range from pictures to driving directions to operating hours, etc., as illustrated by this example:

Some of the best directories on the Internet are entirely free. There are various levels of time and effort you must commit to successfully take advantage of these directories. The commitment varies on a directory-by-directory basis.

The foremost free directory is DMOZ. This site gets a lot of credence from the search engines because it is well edited and has been around for a long time. It boasts a shocking PageRank of 8, a rating Google assigns to websites that shows authority based on a scale of 0 – 10. Some other general high quality free directories are business.com and Yahoo!.

The downside to a free directory is the application process and the data entry required. Denial is not uncommon, particularly for DMOZ. And be aware of paid directories that look to be the exact same as other directories. Search engines inherently give less credence to any links that cost money and are not specified in the HTML as a paid link.

There are many generic directories that cover varied industries across the Web. These are just general directories (not unlike the Yellow Pages) and may not be as valuable as finding one that is more specific to your industry. The more specific the directory, the more it can boost your SEO industry expertise.

It is much more valuable to optimize your website by finding a directory that aligns with your specific business. For example, if you have a website dealing with Assisted Living, you will want to find a directory that specializes as close to this industry as possible. A generic Senior Living or Senior Care directory, while still valuable, is not as valuable as a directory that deals just with Assisted Living. A more targeted directory will likely give a larger boost to your website SEO and citations because it is as close to your business as you can get. Listing your Assisted Living business in a directory for Defense Lawyers is probably not going to do much for you.

Directories can be helpful in getting good, accurate citations to your websites. They can also drive traffic and calls-to-action (phone numbers, brochure requests, etc.) for your communities. It takes time to research, time to apply and time to track your return. But it can increase your online profile, and thus your leads and potential business opportunities – making it worth the effort.

By Jody O’Donnell, SEO Manager, G5 Search Marketing

Ventas, Inc. (NYSE: VTR) released its results for first quarter 2010 that showed earnings fell to $52.6 million from $74.2 million a year earlier. Normalized Funds From Operations (“FFO”) for the quarter ended March 31, 2010 increased 9.9 percent to $105.2 million, from $95.7 million for the comparable 2009 period.  Average occupancy rates increased to 88.4% from 88.3% and saw the performance on the company’s portfolio of Sunrise Senior Living Properties improve.  Ventas saw a  10.9 percent improvement in NOI which was due to a 4.8 percent increase in average daily rate, a 170 basis point improvement in margin and a ten basis point increase in occupancy.

“Ventas experienced another quarter of strong and growing cash flows, along with continued improving fundamentals in our portfolio of diversified assets,” Ventas Chairman, President and Chief Executive Officer Debra A. Cafaro said. “We intend to use our financial strength and resources to execute our growth and diversification strategy in 2010.”

Ventas Q1 2010 earnings release

The Hebrew Home at Riverdale announced that it has joined the NewYork-Presbyterian Healthcare System as an affiliate member which reinforces and builds on the long term relationship between The Hebrew Home and NewYork-Presbyterian Hospital.  Located on 19 acres along the Hudson River in the Riverdale section of the Bronx, The Hebrew Home encompasses a comprehensive array of continuing care services including a skilled nursing facility with 870 beds and 134 indepdent senior living apartments on the main campus.  Besides its onsite services, Hebrew Home’s ElderServe Homecare, providing traditional and long-term home healthcare programs for residents of Manhattan, Bronx, Brooklyn, Queens and lower Westchester counties.

"The Hebrew Home is very excited about establishing a partnership with NewYork-Presbyterian Healthcare System," says Daniel Reingold, President and CEO of The Hebrew Home at Riverdale. "This relationship will help further create a seamless, efficient and superb continuum of care for New York’s senior population."

Additionally, a 40-unit assisted living program now being created within the existing infrastructure of The Hebrew Home at Riverdale, adding another level of care to its continuum at an affordable cost to those in need, including benefit Medicaid eligible seniors and victims of elder abuse residing in the community. The assisted living program has been made possible by an $8.27 million grant from the New York State Department of Health, the largest grant in Hebrew Home history. The grant comes under the HEAL (Healthcare Efficiency and Affordability Law) 12 Program, which seeks "right-sizing" by long-term care facilities.

"For more than a decade, NewYork-Presbyterian has had a close clinical and programmatic relationship with The Hebrew Home at Riverdale," says Herbert Pardes, MD, President and CEO of NewYork-Presbyterian Hospital and Healthcare System. "

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The Gary and Mary West Senior Wellness Center, located in San Diego, California, recently celebrated its grand opening and will serve as Senior Community Centers’ flagship facility.  The Gary and Mary West Foundation’s $4 million gift was instrumental in making the center and its innovative programming possible.  The facility’s uses of natural resources and technology helped the facility earn its LEED Gold Certification for energy efficiency.  Acquisition and renovation costs for the project totaled over $8 million and Senior Community Centers is working with the local community to help raise the final $1.8 million to fund the remaining parts of the project.

“The concept of retirement and aging as we know it is constantly evolving, and today’s senior is not one to sit home alone in a rocking chair,” said Paul Downey, president and CEO of Senior Community Centers. “Age is not a barrier to learning, contributing to the community and participating in active, healthy lifestyles.”

Back in the fall, Suburban Alternatives Land Trust (SALT) and Northbay Family Homes (NFH) held a competition for Senior Housing Design in California that accepted applications from from all across the world that reflected SALT’s mission of assisting low-income individuals and families to secure good housing, become homeowners and improve their economic position by working with donors of land to maximize and leverage tax advantages and benefits generated in the course of developing a full array for land use options for each parcel, including affordable homes, jobs, recreation, agriculture and open space.  Finalists have been selected but all the finalists and the honorable mention entries have all been posted in the gallery.  Visit the Design Gallery for some interesting perspective on California Senior Housing Design. 

HCP (NYSE:HCP) announced results for the quarter that showed a profit of $81 million which was up from $48 million in Q1 2009.  Revenues for the quarter rose to $295 million as HCP saw rental revenues rise and interest income increase by 32%. FFO applicable to common shares was $158.7 million, or $0.54 per diluted share, for the quarter ended March 31, 2010, compared to FFO applicable to common shares of $128.0 million, or $0.50 per diluted share, in the year-ago period.

As part of the events for HCP in the first quarter, it announced that it has entered into a settlement agreement with Erickson Retirement Communities ("Erickson"), which filed for bankruptcy in October 2009.  The settlement agreement provides that HCP is entitled to: (i) retain deposits held by us with balances of $5 million as of March 31, 2010; and (ii) receive an additional $9.6 million. During the quarter ended March 31, 2010, HCP recognized aggregate income of $11.9 million, which represents impairment recoveries of portions of previous impairment charges related to investments in three direct financing leases and a participation interest in a senior construction loan related to Erickson.

HCP Q1 2010 8-K

Earlier this year, Del Webb released a “preview” of its 2010 Baby Boomer Housing Survey that showed that interest in age-restricted housing appears to peak after age 50 and those that are planning to move again, almost 10 to 1 indicated a preference for an age restriction in their next choice for housing.  The full survey fills in all the details and finds that changing attitudes are leading to changes in latitudes when it comes to decisions on retirement housing. According to the survey, Boomer movement is defined by what they do with their life and mind that makes a difference in how they live, work and play and portrays a highly mobile demographic.  Some of the highlights include:

Trends on Moving in Retirement:

• About 1/3 of Baby Boomers plan to move to a new home during retirement.
• The desire to move during retirement is on the rise as 42% of today’s 50-year-olds plan to do so as compared to 36% among the 1996 50-year-olds.
• Approximately 50% of both age groups who plan to move during retirement plan to move to a different state while about 25% of them plan to move to a different city within the same state.
• The Carolinas are the New Florida among both the younger and older Baby Boomers. Florida, Tennessee and Arizona remain Top 5 contenders.
• “Cost of living” and “healthcare” were the MOST important considerations in selecting a location for both age groups; trumping a “favorable climate,” which was the most important factor in 1996.
• Interest in age-restricted appears to peak after age 50.  Of those Del Webbers who are planning to move again, fully 10 to 1 indicate a preference for age restriction.

Working in retirement:

• The vast majority of both those planning for retirement and those living retirement are planning to include working as part of their lives. 
• Among young boomers, 72% plan to work.  For older Boomers not yet retired, 74% plan to work.  In the 1996 survey, 68% of the 50-year-olds surveyed said they planned to work
• Today’s 50-year-old Boomer anticipates retiring four years later.
  • Compared to 50-year-olds in 1996, today’s 50-year-olds plan to retire a median of four years later – Age 67 vs Age 63.
  • Of those turning 50, 54% anticipate retiring from their primary career after age 65; 0f those turning 64 and still working, 8% plan to retire over the next few years, and 74% after the age of 65.
  • 14% of 50-year-olds and 18% of 64-year-olds who are still working never anticipate retiring.
• Among current retirees, just under 40% report actually working since retiring.
• Finances- Fulfillment & Fun – While finances are a common reason for why many will continue to work, other top reasons include:
  • “Warding off boredom/keeping busy”
  • “Self satisfaction”
  • “Simple enjoyment” 

“Baby Boomers have a much different mindset toward growing older than earlier generations,” said Deborah Blake, Del Webb creative director. “Feeling older is just a state of mind for many of them – one that most have no interest in. Many consider themselves healthy and active, primed for the next part of their lives with no plans to slow down anytime soon. They want to do it all as they enter this next phase, from working longer to trying Zumba and acting classes to volunteering their time.”

Del Webb has conducted these surveys since 1996.

2010 Del Webb Baby Boomer Survey

National HealthCare Corporation (NYSE-Amex: NHC); (NYSE-Amex: NHC.PRA) announced the recent opening of The Palmettos of Mauldin, a 45 unit assisted living community in Mauldin, South Carolina near Greenville.  The Palmettos will have 27 apartments in the assisted living wing and another 18 in the memory care wing that is adjacent to NHC Mauldin, a 180 bed skilled care facility, and expands NHC’s residential care in South Carolina to over 2,100 beds in 15 locations, along with 4 homecare offices and 7 hospice locations.

“The Palmetto’s location alongside the therapy and rehabilitation programs of NHC Mauldin will allow residents the freedom to remain in their apartments while receiving temporary care next door,” according to NHC President Steve Flatt. “This is also a strategic location because it can serve the Fountain Inn, Simpsonville and Greenville, South Carolina markets.”