Senior Living News Wire

Aging in place costs remained flat in 2010 while nursing care and assisted living rose by nearly 5% since 2009.  According to the the Met Life Mature Market Institute 2010 Market Survey of Long-Term Care Costs, the price of home health aides remained in line with prices for 2009 at $21 per hour and adult day services costs stayed at $67 per day.  Overall, the survey showed rates for nursing home and assisted living rates rose significantly from 2009 to 2010 with private room nursing home rates rose 4.6% to $229 per day or $83,585 per year, while assisted living rose 5.2% on average to $3,293 per month, or $39,516  per year.  The increases in 2010 come on top of increases in 2008 to 2009 of 3.3%.

“The cost of care in nursing homes and assisted living has been and continues to be high and, in the past year, the increases have even outpaced medical care inflation of about 3%,” said Sandra Timmermann, Ed.D.,
director of the MetLife Mature Market Institute. “As the population ages, there are more and more people among us who will need long-term care. While families continue to provide the lion’s share of care, paid care is commonly part of the equation and the costs can derail even the best financial plan. There is very good reason for individuals and families to look into savings plans, annuities and long-term care insurance to hedge the possibilities.”

Location of services was a strong influence in the cost of care outlined by the survey where the highest average daily rates for nursing homes continued to be in Alaska, where rates are now $687 for a private room and $610 for a semi-private room.  The lowest costs identified in the survey showed that areas in Louisiana had an average of $138 per day for a private room.  Assisted living costs were highest in Washington, D.C. with an average monthly rate of $5,231 and the area around Little Rock, Arkansas saw the lowest average rate at $2,073.

Visit the Met Life Mature Market Institute 2010 Market Survey of Long-Term Care Costs

Aging in place costs remained flat in 2010 while nursing care and assisted living rose by nearly 5% since 2009.  According to the the Met Life Mature Market Institute 2010 Market Survey of Long-Term Care Costs, the price of home health aides remained in line with prices for 2009 at $21 per hour and adult day services costs stayed at $67 per day.  Overall, the survey showed rates for nursing home and assisted living rates rose significantly from 2009 to 2010 with private room nursing home rates rose 4.6% to $229 per day or $83,585 per year, while assisted living rose 5.2% on average to $3,293 per month, or $39,516  per year.  The increases in 2010 come on top of increases in 2008 to 2009 of 3.3%.

“The cost of care in nursing homes and assisted living has been and continues to be high and, in the past year, the increases have even outpaced medical care inflation of about 3%,” said Sandra Timmermann, Ed.D.,
director of the MetLife Mature Market Institute. “As the population ages, there are more and more people among us who will need long-term care. While families continue to provide the lion’s share of care, paid care is commonly part of the equation and the costs can derail even the best financial plan. There is very good reason for individuals and families to look into savings plans, annuities and long-term care insurance to hedge the possibilities.”

Location of services was a strong influence in the cost of care outlined by the survey where the highest average daily rates for nursing homes continued to be in Alaska, where rates are now $687 for a private room and $610 for a semi-private room.  The lowest costs identified in the survey showed that areas in Louisiana had an average of $138 per day for a private room.  Assisted living costs were highest in Washington, D.C. with a average monthly rate of $5,231 and the area around Little Rock, Arkansas saw the lowest average rate at $2,073.

Visit the Met Life Mature Market Institute 2010 Market Survey of Long-Term Care Costs

The Ensign Group, Inc. (Nasdaq: ENSG) reported its financial and operating results for the third quarter of 2010 that showed strong revenue growth while the company eased back on its acquisitions.  The company cited improvements in both same-store and overall occupancy during the quarter with total revenue up 23.9% to $164.7 million and occupancy at 80.1%.  Ensign’s net income rose 28.6% to $9.9 million for the quarter.  The company has added 19 new facilities and a home health business since January 2009.

Ensign’s President and Chief Executive Officer Christopher Christensen said, "We are especially gratified that our operators would not only grow occupancy year over year, but actually grow it sequentially over Q2, which is unprecedented for a third quarter in our census-cyclical business.  These results represent a strong validation of Ensign’s business model, and demonstrate robust momentum heading into 2011. "

Illinois is getting more funding for the construction of 50 affordable rental homes for low-income seniors for the Cottage Apartments project located in Normal.  Developed by Bluestem Housing Partners NFP, Cottage Apartments will consist of a three-story, 50 unit independent living building serving residents who are over the age of 55. Ten percent of the units are  reserved for elderly residents in need of supportive housing services and construction is expected to be completed by August 2011.

“Governor Quinn is dedicated to putting federal stimulus dollars to good use in Illinois,” said Gloria L. Materre, IHDA Executive Director. “These funds create jobs for hardworking local residents and get affordable housing development back on track.”

The Illinois Housing Development Authority (IHDA) and the the State of Illinois invested $5.3 million to build Cottage Apartments, including $1.5 million in American Recovery and Reinvestment Act (ARRA) funds and $3.8 million in loans and tax credits from other state resources.

“Without the federal stimulus funding allocated to us by IHDA, Cottage Apartments would never have gotten off the ground,” said Audra Hamernik, executive director of Bluestem Housing Partners NFP. “We are
grateful to the Governor and IHDA for committing stimulus funding to help jumpstart this much-needed project.”

Aging, senior fitness, the Oprah Effect and Jane Fonda all wrapped into one.  That’s what you got on Oprah’s show earlier this week when Jane Fonda appeared to pitch her Prime Time workout videos.  The videos, set to be released on November 30, are titled “Walkout” and “Fit & Strong”.  At 72, the spry looking Fonda, opined on fitness, love and plastic surgery during the journey through the last twenty years of her life and talked about a new book she is writing, entitled “Prime Time:  Creating a Great Third Act”.

For the full text of the interview, click here or see Fonda in action Demonstrating Exercises for Baby Boomers on Oprah.

Is your home ready for the invasion of Halloween spirits?  Better get ready for those tricker-treaters at your house….one of the scariest parts of Halloween is that Americans eat 24.3 pounds of candy per capita consumption in 2009.  After you’ve had your chocolate fix and figured out you need to buy more candy after eating all of it, see this week’s Movers and Shakers to get you out of the sugar crash.  Got announcements?  They’re sweet to us.  Email to movers-shakers@seniorhousingnews.com

WellAWARE Appoints Doumas and Duckworth to Team

WellAWARE Systems has announced the appointment of Diane Doumas as Director, Shared Services and Ronda Duckworth as Director, Partner Services.  Doumas brings more than 25 years experience from Sunrise Senior Living with an advanced education in gerontology and organizational development/knowledge management. As Director of Shared Services, Doumas will work closely with the senior and support function staff in both the corporate headquarters and regional territories. She will work with customers and direct users of WellAWARE to develop and implement consistent procedures and policies. Her expertise includes program development, field operations management, training and leadership development. Throughout her career with Sunrise Senior Living, Diane played a key role in creating the organization’s operational policies and procedures, and pioneering programs such as specialized activities for assisted living and memory care residents. For the past two years, Doumas has managed Vantage Advisory Group, a senior living professional services firm based in Virginia. Doumas has a Bachelor of Science in Gerontology Services Administration from the University of Texas Health Science Center in Dallas, TX and a Masters in Science in Organization Development and Knowledge Management from George Mason University.

Duckworth brings more than 20 years experience in the senior living and health care fields. As Director of Partner Services, Duckworth will manage the customer relationship through the entire service delivery cycle. Her expertise includes leadership roles, sales and marketing and community relations for leading assisted living communities including Juniper Communities and Sunrise Senior Living. She also worked in several health care settings in marketing, provider relations, and operations for Charter Peachford Hospital, Fox Run Hospital and Charter at Cove Forge Health Systems. Duckworth has a Bachelor of Science in Nursing and Psychology from Georgia State University.

Isle at Watercrest Names Kristen Kearnaghan Executive Director

Kristen Kearnaghan has been named executive director of Isle at Watercrest, the assisted living community of Watercrest at Mansfield.  Kearnaghan joins Isle at Watercrest from Watermere at Southlake where she served as executive director. In addition, she served as executive director of Isle at Watermere, the assisted living community on the Watermere at Southlake campus.

Originally from San Diego, Kearnaghan began her career in the senior housing sales and marketing industry before transitioning into operations. Previously, Kearnaghan worked with Life Care Services in California, North Carolina, Maryland and Hawaii.  She served as Administrator of Hale Ola Kino in Honolulu and during her tenure, Hale Ola Kino was named one of the 25 best employers in Hawaii by Hawaii Business Magazine.  Kearnaghan earned a bachelor’s degree from California Polytechnic University in San Luis Obispo, California, and a master’s degree in Gerontology from the University of Arizona in Tucson, Arizona.  In addition to her professional responsibilities, she is a member of Junior League of Dallas.

Meier, Murphy Join New Perspectives

New Perspective Senior Living has announced that Jay Meier has joined the company as the Finance, Accounting and Systems Controller and that John Murphy has assume the position of Director of Training and Development.

Meier will assume the day-to-day management functions for the accounting and finance areas of the business.  Meier comes to New Perspective Senior Living from Sage Capital Advisors, LLC where he served as President and CEO.  He has also held positions at several investment banks including Miller, Johnson, Steichen, Kinnard where he was picked by Forbes as the 8th best stock picker in North American in 2005.

John Murphy assumes the role of Director of Training and Development for the senior living chain.  Murphy’s primary responsibility will be to ensure an increased measure of position proficiency by all of team members of New Perspective Senior Living with particular emphasis on those positions that directly impact the well being and satisfaction of each communities’ residents.  Prior to joining New Perspective Senior Living, Murphy has held senior training positions with The American Cancer Society, Wells Fargo Home Mortgage and Hartford Financial.  He is a member of the American Society for Training and Development, the International Society for Performance Improvement and is a certified personnel coach.

D’Costa Named Chief Business Development Officer at Pathway Senior Living

Aaron D’Costa has been recently promoted to the position of Chief Business Development Officer for Pathway Senior Living,.  In his new role, Aaron is responsible identification of key management, acquisition and development and consulting opportunities; the formation and implementation of a corporate strategic plan; and oversight of the company’s marketing and brand strategy.

Aaron has 20 years of experience in the senior hosing industry. Prior to joining Pathway, he operated his own strategic marketing and management consulting firm with clients throughout the country benefiting from his marketing and operations experience. He had previously held community- and corporate-based positions with national providers such as Marriott Senior Living Services, Sunrise Senior Living, Classic Residence by Hyatt and Fountains Retirement Communities.

Aaron completed his MBA from The George Washington University and holds dual undergraduate degrees in management and communications from Virginia Wesleyan College. He is currently on the Marketing Roundtable for the Assisted Living Federation of America, is an advisory board member of the American Seniors Housing Association, a board member of HCap, and for 14 years has served as a judge for the Mature Media Awards. Aaron has presented at numerous industry conferences including ALFA, LSN, AAHSA, NIC, AHSA, and the Advanced Senior Housing Sales Summit.

Sun Healthcare Group, Inc. (NASDAQ: SUNH) released its operating results for the third quarter ended Sept. 30, 2010 that showed an increase in revenues of 1.1% to $476 million versus Q3 2009.  SUNH reported that its consolidated EBITDAR was $60.6 million for the quarter and that on a normalized basis its diluted earnings per share from continuing operations would have been $0.23 based on shares outstanding prior to the issuance of 30.76 million shares in the Company’s August equity offering.  The results exclude the impact of $4.7 million for transaction costs associated with the separation transaction expected to occur in November from its real estate assets into Sabra Health Care REIT, Inc.

"Although our sector continues to experience a tough operating environment, I am pleased with our ability to turn in a solid quarter, with normalized adjusted EBITDAR comparable to that achieved in last year’s third quarter," said Richard K. Matros, Sun’s chairman and chief executive officer in a statement.  "With respect to the previously announced separation of our operating assets and real estate assets, we have completed debt financings for both the operating company and the real estate company and have received all necessary regulatory approvals. We look forward to our stockholders’ meeting on November 4 and to completing the separation transaction on November 15."

Q3 2010 SUNH Earnings Release

Emeritus Corporation has entered into an agreement to purchase the Weston Group that provides rehabilitation services and medical equipment products to the senior living industry for $18 million.  The transaction is expected to close in early 2011 and the revenues from the 50 Emeritus accounts represent approximately one third of Weston Group’s $37 million in annual revenue. 

Mr. Granger Cobb, President and Co-CEO of Emeritus, stated, "This is a particularly meaningful opportunity for Emeritus to expand our services into the complementary rehab therapy business. We have the tremendous potential to expand this new line of business throughout all of the Emeritus communities, as well as through external growth."

As Medicare spending continues to rise, many organizations are examining ways to keep those costs in check and a new study from the Kaiser Family Foundation finds that Medicare beneficiaries that stay in long-term care facilities account for an excessive portion of Medicare spending and that focusing on prevention can reduce those costs. Of the 1.7 million Medicare beneficiaries who were in long-term care for all of 2006, or who died in care before the year’s end, the cost for each person was at an average of $14,538 per person — more than twice the average expenditure for all Medicare beneficiaries that year.  Hospital expenses accounted for almost 40 percent of Medicare spending on patients who lived in long-term care facilities.

“When we step back…delivery systems reforms may not only improve quality of care…but may also reduce spending,” said Gretchen Jacobson, a KFF principal policy analyst and co-author of the reports.

Additionally, the reports cite a need for a change of culture in order to reduce hospitalization stays.  As part of the findings, the reports showed that many of the hospitalizations of residents of long-term care facilities occurred within the first few months of their stay, when patients are often transitioning from a hospital setting into residential care.  

For the reports, visit:  “High Medicare Spending for Beneficiaries in Long-Term Care”

West Living Acquires a Minority Interest in a Senior Living Community in Bellevue, Washington

West Living recently announced a $12.8 million minority investment in The Bellettini, a 145-unit independent and assisted living community in the downtown area of Bellevue, Washington. 

"The Bellettini is a quality property in a historically attractive market. The investment furthers our objective of deploying capital into the senior housing and services business and we’re very bullish about this segment of real estate," says John Rimbach, President of West Living.

Love Funding Closes $4,986,000 Refinance Loan For Cambrian Of Techumseh Assisted Living Facility

Love Funding announced the closing of a $4,986,000 refinance loan for Cambrian Assisted Living Facility, located in Tecumseh, Mich. Mickey Rist, Senior Loan Originator in Love Funding’s Detroit office, and Bruce Gerhart, Midwest Regional Manager in Love Funding’s Cleveland office, originated the transaction.   Love Funding funded the loan through the FHA 223(f) program. By providing FHA financing, Rist and Gerhart were able to lock in a 4.5 percent interest rate with a 35-year term and amortization.  The project has 58 studio and one- and two-bedroom apartment units and is licensed for 70 beds. 

Magnolia Trace Completes $1.7M Health Center Renovation

Magnolia Trace, a continuing care retirement community (CCRC) in Huntsville, Alabama, recently celebrated the grand opening of a $1.7 million community enhancement.  ACTS Retirement-Life Communities, the not-for-profit parent company of Magnolia Trace, is adding a fully-licensed and certified assisted living residence to the campus, called OakBridge Terrace, which will accommodate residents in 30 private suites. The project also includes the addition of a new memory enhancement and dementia unit consisting of 19 suites.

“We’ve created a more comfortable resident-centered setting that features larger living and activity areas, new state-of-the-art equipment, furniture, and technologies,” said Donna Olson, executive director of Magnolia Trace. “Our residents who need a higher level of care will live in environments that allow for more privacy, cared for by a staff who know them well, and where they will enjoy many of the comforts and routines of home.”

Cambridge Provides $13.6 Million HUD Lean Loan To Finance Construction of Shorewood, Illinois Skilled Nursing Home

Cambridge Realty Capital Companies recently reported the closing a $13.6 million FHA-insured HUD Lean loan to finance the construction of Alden Estates of Shorewood, a 100 -bed skilled care nursing home in Shorewood, Ill.  Cambridge Chairman Jeffrey A. Davis said the HUD Section 232 funding package included both new construction and a fully-amortized 40-year permanent mortgage loan.

Five Star Quality Care, Inc. (NYSE Amex: FVE) released its Q3 2010 financials results that showed the company’s total revenues increasing to $315 million in the third quarter, an increase of 6.7% versus the same period in 2009.  FVE also saw its occupancy levels rise to 86.4% and an increase in daily rates of 2.7% year over year and private pay increased to 70.1% from 69.7% for the same period last year. 

For the full earnings release for Five Star Quality Care, visit FVE Q3 2010 Earnings Release

Heading out west this weekend to the AAHSA Annual Meeting in Los Angeles?  Senior Housing News (SHN) will be out in the sun and the sand at the Los Angeles.  If you’re speaking, hosting or just visiting and want to chat, drop us a line at george@seniorhousingnews.com

This Veterans Day, dozens of senior veterans coast to coast are sharing life lessons learned in service through a project spearheaded by Watermark Retirement Communities.  Watermark is giving senior veterans the opportunity to share with younger generations essential life lessons they learned – the hard way – so that others may learn from, and aspire to, their examples.

"The senior generation of veterans Watermark so proudly serves today, served for us. They continue to contribute so much to our society.  We are most fortunate to inherit their legacy of character and leadership," stated Watermark spokesperson Jill Hofer.

Louis Barry served in Army Infantry and Air Corps as a Sergeant and fought in the Battle of the Bulge. Told he was missing in action, his family held his funeral before learning he was a prisoner of war. After his release, Barry was awarded the Silver Star and a Purple Heart. His take-away lesson: "Live life to the fullest."

George North served in the U.S. Army and Airborne from 1941 to 1945. North said he made his most important jump in the battle of Corregidor. If he had failed, he explained, the whole mission would have failed.  The most important life lesson service taught him: "Be prepared – pay attention to every little detail – that is so important in being successful."

Men and women from every branch of service from WWII through Desert Storm are represented in Watermark’s Life Lessons project.

Father Bill Ford served as a Naval Lieutenant and Public Information Officer in Vietnam, 1959-1966; Naval Reserves, 1970-1974; and as Catholic Chaplin during Desert Storm, 1989. The most important lesson Ford learned in service: "Maintain a positive outlook in life."

Margaret Sloane, who tended wounded soldiers as a recreation therapist in the American Army hospitals in England, learned: "Sometimes the joy of helping is reward enough."

source:  Press Release

Residents of Asbury Methodist Village, a retirement community of more than 1,300 residents, have found the secret to staying young and active-HealthAbility. Phyllis Skiba, 78, and Harlene Buchanan, 80, can still dance the night away thanks in part to the strides they’ve made in Asbury’s special wellness program geared to seniors’ unique health needs.

The drive to develop strategic housing projects with transportation needs of an aging population got a boost last week when the U.S. Department of Housing and Urban Development (HUD) and the U.S. Department of Transportation (DOT) awarded nearly $68 million to help stimulate a new generation of sustainable and livable communities.  These communities are focused on connecting housing, employment and economic development with transportation and other infrastructure improvements through regional partnerships across the country.  The funds will be used by communities, large and small, to address local challenges to integrating transportation and housing that includes funds for senior housing and accessibility.

“Today two federal agencies come together to produce a win-win for local communities around the country,” said HUD Secretary Shaun Donovan.  “We’re helping local and regional planners connect all the dots in their efforts to make their communities more sustainable and livable.  These grants will help communities to hit on all cylinders, producing more affordable housing near good jobs and commercial centers which will help to reduce our energy consumption and increase competitiveness.”

As part of the announcement, HUD is awarding $40 million in new Sustainable Community Challenge Grants to help support local planning designed to integrate affordable housing, good jobs and public transportation.  Meanwhile, DOT is awarding nearly $28 million in TIGER (Transportation Investment Generating Economic Recovery) II Planning Grants to implement localized plans that ultimately lead to projects that integrate transportation, housing and economic development.

DOT Secretary Ray LaHood said, “With the investments HUD and DOT are making today, we are strengthening neighborhoods by connecting housing with affordable and sustainable transportation choices.  This is a win-win for people who live in these communities because they will have travel options to better serve them.”