Congregate Care / Skilled Nursing Homes in California
May 20, 2024
by a searcher from The University of Chicago - Booth School of Business in Newport Beach, CA, USA
Looking at purchasing a group of congregate care homes in California. 6 to 12 beds per facility. Interested in speaking with people with knowledge/experience in this space. Trying to understand regulatory risks, insurance reimbursement, requirements for bank financing, etc.
from INSEAD in San Francisco, CA, USA
https://www.cms.gov/newsroom/fact-sheets/medicare-and-medicaid-programs-minimum-staffing-standards-long-term-care-facilities-and-medicaid-0
This will drastically increase the demand for nurses.
From a due diligence perspective, the one I've heard come up is that you should ensure the facility isn't getting creative with their staffing. Most facilities should have a round-the-clock nurse and while it may look like that on paper, some places really only have a nurse there part-time. A lot of facilities do this because it's required for them to be profitable, but can be a legal grey area. Food is could be another area to look at for quality (e.g., are they being excessively cheap?).
I know some even some of the big nursing homes here in CA are still getting hammered, it's a tough market for sure.
from Hofstra University in North Carolina, USA