Annapolis, Md. – In preparation for a special breakout session during the 2011 NIC Regional Symposium in March, the National Investment Center for the Seniors Housing & Care Industry has issued a call for business plan submissions from seniors housing businesses interested in presenting investment opportunities to a panel of deal-making experts and investors. The opportunities must relate to the seniors housing and care industry and can range from services to real estate and span such areas as new development, recapitalization, acquisition, renovation or expansion, or new product offering.

During “Competing for Capital in a Challenging Climate,” participating companies will make presentations to a panel of respected professionals from the capital markets who will pose challenging questions and provide commentary to help them sharpen the organization and delivery of their plans. These panelists will focus on identifying the less-visible risk factors of each business plan and suggest strategies for addressing them. Prior to the session, qualified business advisors will coach each presenter, giving instructive guidance to help ensure that the information is comprehensive and sufficiently well-developed for a successful presentation.

For consideration, executive summaries of business plans for projects seeking to raise debt or equity financing should be emailed to Nicole Opatz at by January 31, 2011. No more than three business plans will be analyzed during the session. For questions or to receive additional information, call (410) 267-0504.

“This is a rare opportunity for seniors housing entrepreneurs to preview their ideas for revenue growth and bottom line improvement with, and receive direct feedback and insight from, some of the most esteemed and active capital markets professionals in the business,” said the panel”s moderator, Kenneth Segarnick, Managing Director, Business Development, Brandywine Senior Living. “Those in attendance will also benefit from observing firsthand the perspectives and tactical suggestions of investors and lenders as they ask questions, discuss the selected business plans and describe key steps to improve position and attract financing.”

Members of the panel for the session will include: Charles J. Herman Jr., executive V.P. & chief investment officer, Health Care REIT, Inc.; Patrick M. Hurst, managing director, Houlihan Lokey; Noah Levy, managing director, Prudential Real Estate Investors; Eric Mendelsohn, senior V.P. Corporate Development, Emeritus Senior Living; and, John Stasinos, vice president – Acquisitions and Valuations, HCP, Inc.

The 2011 NIC Regional Symposium will take place March 7-8, 2011, at the Hyatt Regency Century Plaza, 2025 Avenue of the Stars, Los Angeles, CA 90067.

About NIC
Founded in 1991, the National Investment Center for the Seniors Housing & Care Industry is a nonprofit education and research organization providing information about business strategy and capital formation for the senior living industry. NIC is the leading provider of historical and trend data on the industry through its NIC MAP® Data and Analysis Service that tracks more than 12,000 properties on a quarterly basis in the 100 largest metropolitan markets. Proceeds from its annual conference and other events are used to fund data and research on issues of importance to lenders, investors, developers, operators, and others interested in meeting the housing and care needs of America’s seniors. For more information, visit www.NIC.org or call (410) 267-0504.

Source: NIC.org

FOR IMMEDIATE RELEASE: November 2, 2010
Contact: Renee Tilton, (410) 626-0805 or rtilton@crosbymarketing.com

Annapolis, Md. – The Board of Directors for the National Investment Center for the Seniors Housing & Care Industry (NIC) announced its officers for the 2010-11 term. Three individuals were also elected to serve as new board members, and three individuals were elected to serve additional three-year terms.

The officers include Kevin McMeen, president-real estate, MidCap Financial, as board chair, and Randy Richardson, president, Vi, as vice chair. Brad Razook, president & managing director, CS Capital Advisors LLC, will serve as secretary, and George V. Hager, Jr., chairman & CEO, Genesis Healthcare Corp., as treasurer.

The three new members elected to the NIC Board of Directors are Brian Beckwith, senior managing director, GE Capital, Healthcare Financial Services, Charles J. (Chuck) Herman, executive vice president & chief investment officer, Health Care REIT, Inc. and Ray Lewis, president, Ventas. Loren Shook, chairman of the board, president/CEO, Silverado Senior Living, was appointed to the board as the chairman of the NIC Operator Advisory Board.

In addition, three members of the NIC Board of Directors were elected to serve additional three-year terms on the board: Beth Burnham Mace, director-AEW research, AEW Capital Management, L.P.; Angela Mago, senior vice president and national manager, KeyBank Real Estate Capital-Healthcare Group; and Arnold Whitman, CEO & co-chairman, Formation Capital, LLC.

“We’re honored that our leadership consists of so many industry veterans,” said Robert G. Kramer, president of NIC. “Our core group of seasoned pros dedicates their time and expertise to fulfilling NIC’s mission of advancing the quality of seniors housing and care through data, research, networking events, and professional education.”

About NIC
Founded in 1991, the National Investment Center for the Seniors Housing & Care Industry is a nonprofit education and research organization providing information about business strategy and capital formation for the senior living industry. NIC is the leading provider of historical and trend data on the industry through its NIC MAP® Data and Analysis Service that tracks properties on a quarterly in the 100 largest metropolitan markets. Proceeds from its annual conference and other events are used to fund data and research on issues of importance to lenders, investors, developers, operators, and others interested in meeting the housing and care needs of America’s seniors. For more information, visit www.NIC.org or call (410) 267-0504.

Source: NIC.org

FOR IMMEDIATE RELEASE: October 27, 2010
Contact: Renee Tilton, (410) 626-0805 or rtilton@crosbymarketing.com

Annapolis, Md. – The occupancy rate for seniors housing was unchanged this quarter, and the number of units under construction appears to be leveling, according to NIC MAP, a data and analysis service of the National Investment Center for the Seniors Housing & Care Industry (NIC). The data also showed little change in the rate of rent growth for seniors housing but a slight increase in private pay rents for skilled nursing.

The average occupancy rate for seniors housing properties in 3Q10 was 87.7%, which was unchanged from 2Q10 and suggests that occupancy has stabilized. Since the second quarter of 2009, seniors housing occupancy rates have been trending within a tight range between 87.5% in 1Q10 and 88.1% in 3Q09.

NIC MAP data also reveals divergent trends in occupancy rates between independent living and assisted living properties. The independent living occupancy rate was 87.1% in 3Q10, down 30 basis points from the previous quarter. In contrast, assisted living occupancy was 88.7% in this quarter, which was up 40 basis points from 2Q10. “While independent living occupancy rates are continuing to establish new cyclical lows, assisted living occupancy rates are recovering from recent lows,” said Chuck Harry, research director – NIC.

Annual rent growth for seniors housing in the third quarter of 2010 was 0.7%, which is little changed in comparison to the previous quarter when it was 0.8%. One year ago, in 3Q09, annual rent growth was 2.0%. “Rent growth, while still positive, has slowed and reflects the challenging leasing environment that many operators are in today,” said Harry.

For seniors housing properties, annual absorption was 1.2% in the third quarter of 2010. This is lower than 1.7% in the second quarter of the year, but does reflect higher levels than in 2008 and 2009. From 1Q08 to 4Q09, the annual pace of seniors housing absorption was below 1%. 3Q10 marks the third consecutive quarter where annual absorption has been above 1%.

The seniors housing inventory grew at an annual rate of 1.7% in 3Q10, which is a slowdown from the levels seen a few years ago. For more than three years prior to 2Q10, inventory was growing in excess of 2% annually. “The current pace of absorption and the emerging slowdown in inventory growth is revealing a more balanced supply/demand picture as compared to 2008 and 2009,” said Harry.

Construction activity for seniors housing declined slightly in 3Q10 to 2.0%, and it appears to be leveling. The data shows that there is new construction activity, but new construction starts are largely replacing the units opening on a quarterly basis.

The skilled nursing occupancy rate was 88.5% in 3Q10, down just 0.1% from 2Q10 and continuing the trend of marginal declines for the past four years. In contrast to the seniors housing rent growth trend, skilled nursing private pay rents grew 3.3% annually this quarter, reflecting continued growth. This sector’s inventory also showed a slight negative decline on an annualized basis of 0.1% in 3Q10, and annual absorption declined 0.7%.

About NIC
Founded in 1991, the National Investment Center for the Seniors Housing & Care Industry is a nonprofit education and research organization providing information about business strategy and capital formation for the senior living industry. NIC is the leading provider of historical and trend data on the industry through its NIC MAP® Data and Analysis Service that tracks properties in the 100 largest metropolitan markets. Proceeds from its annual conference and other events are used to fund data and research on issues of importance to lenders, investors, developers, operators, and others interested in meeting the housing and care needs of America’s seniors. For more information, visit www.NIC.org or call (410) 267-0504.

Source: NIC.org

FOR IMMEDIATE RELEASE: October 20, 2010
Contact: Renee Tilton, (410) 626-0805 or rtilton@crosbymarketing.com

Annapolis, Md. – The white paper “Where Allies Part Ways and Strangers Converge: Nursing Home Performance in the Eyes of the Residents, Families, and State Surveyors” was announced by the National Investment Center for the Seniors Housing & Care Industry (NIC) as the winner of the GE Award for Best Research Paper from its annual call for applied research papers. The article was printed in the 2010 Seniors Housing & Care Journal and analyzes nursing home performance ratings based on data from 89 nursing homes in 30 states.

The research and writing was conducted by three individuals: Vivian Tellis-Nayak, Ph.D., vice president – research, My InnerView; Bradley N. Shiverick, CPHQ, senior vice president, Healthcare Analytics; and Mauro Hernandez, Ph.D., Concepts in Community Living, Inc.

The results of the winning research revealed that nursing home residents tend to place great weight on quality of life issues, but families and state surveyors tend to focus more on quality of care issues. Residents and families both give their top ratings to the way staff show respect and ensure resident safety, and to the quality of care from nurses.

Satisfaction surveys were mailed to both residents and families from 89 nursing home facilities, resulting in 2,430 responses from residents and 3,779 responses from families. Twenty-two core items along the dimensions of quality of life, quality of care, and quality of service were identified and measured, and included aspects of nursing home life such as resident safety, privacy needs, friendship opportunities, meal quality, and religious/spiritual needs.

Key findings from the study showed:

* Both residents and families rate their nursing homes highly.
* Although their concerns overlap, residents and families disagree significantly in the way they rate the 22 areas of nursing home life.
* The 22 areas of nursing home life bear different meaning for residents and families; each area affects the two groups unequally when recommending their nursing home.
* The assessment of a nursing home by families is in step with the judgment state surveyors pass on it. While quality of life assumptions underlie the ratings by residents, quality of care principles guide the ratings of families and state surveyors.

“What residents in long term communities ask for is not high-tech cures, but a caring touch that silently assures them you really care,” said winning author Tellis-Nayak. “They are less concerned about staff ratios, high credentials, and clinical protocols. They yearn for caregivers who recognize their worth, affirm their individuality, and relate to them in a healing bond of friendship.” The authors suggest that to promote person-centered care, nursing homes need to understand the sociocultural factors behind the quality of life and quality of care paradigms that shape their clients’ expectations.

This is the 13th year the peer-reviewed Journal, published annually by NIC, continues its tradition of disseminating empirically based research and commentaries about quality and progressive practices in the seniors housing and care industry. The author(s) of the Best Research Award paper received a $2,500 total cash prize sponsored by GE Healthcare Financial Services.

Linda Hollinger-Smith, RN, Ph.D., FAAN, Mather LifeWays Institute on Aging, served as managing editor of the Journal. The three other editors were Joan Hyde, Ph.D., Gerontology Institute, University of Massachusetts/Boston; David A. Lindeman, Ph.D., Center for Technology and Aging, Center for Innovation and Technology in Public Health; and Margaret Ann Wylde, Ph.D., ProMatura Group LLC.

In addition to the winning paper, a special commendation was given to the paper “Occupancy and Revenue Gains from Culture Change in Nursing Homes: A Win-Win Innovation for a New Age of Long-Term Care” by Amy Elliot. The paper analyzed results from 185 mid-stage adopter homes and a comparison group of control homes and found evidence that culture change implementation results in return on investment for adopter homes through both increased occupancy and per bed per day revenue.

“This was also the first year NIC offered a New Investigator Award for researchers in graduate school or who have recently graduated,” said Robert G. Kramer, president of NIC. “We’re pleased to have an opportunity to recognize up-and-coming leaders in the industry.” The New Investigator Award was given to Katherine Marx for her paper “Group Activity Participation and Community/Medical Service Use Before and After Moving into a Continuing Care Retirement Community: A Five-Year Examination,” which was co-authored by Jean Gaines, Kasey Burke, Barbara Resnick, and John Parrish. This study of 157 older adults living in one of four large-scale CCRCs described their reported participation in group activities and medical services retrospectively one year immediately prior to and prospectively five years post-move into a CCRC and discovered five distinct patterns of changes in activity and/or service utilization over time.

The other papers included in this year’s Journal are: “Whole-Person Wellness in Senior Living: Perspectives of 23 Pioneering Communities,” “Successful Practices for Developing Cognitive Stimulation Programs,” and “Senior House Operations in Finland.”

Copies of the 2010 Seniors Housing & Care Journal are available through NIC for $95. Limited quantities of the Journal from previous years are also available. To order, visit www.NIC.org or call NIC at (410) 267-0504.

About NIC
Founded in 1991, the National Investment Center for the Seniors Housing & Care Industry (NIC) is a nonprofit education and research organization providing information about business strategy and capital formation for the senior living industry. NIC is the leading provider of historical and trend data on the industry through its NIC Market Area Profiles (NIC MAP®) Data and Analysis Service that tracks quarterly more than 12,000 properties in the 100 largest metropolitan markets. Proceeds from its annual conference are used to fund research on issues of importance to the industry. For more information, visit www.NIC.org or call (410) 267-0504.

Source: NIC.org

Annapolis, Md. – The “Seniors Housing Construction Trends Report 2010″ is now available. Produced jointly by the National Investment Center for the Seniors Housing & Care Industry (NIC) and the American Seniors Housing Association (ASHA), this annual report confirms that construction activity has slowed significantly for seniors housing and care over the past year in the nation’s top 100 metro markets. The slowdown is even greater when compared to two years ago.

This highly anticipated publication shows a comprehensive overview of current construction activity for seniors housing properties as of March 31, 2010. “We like to say it provides a macro-perspective of the units and properties in our sector under construction or which started construction within the top 100 metropolitan markets,” said David Schless, president of ASHA. “These markets account for nearly two-thirds of the U.S. population, including seniors who are 75 years or older.”

An overview of construction activity is provided for properties classified as senior apartments, majority independent living, majority assisted living and majority nursing care. Memory care is found under majority assisted living and a separate section on continuing care retirement communities (CCRCs) is included. Only properties containing 25 or more units/beds are tracked for purposes of the report.

Data is based on counts from NIC MAP, the leading data provider of key operating statistics for the seniors housing industry, and verified with data gathered from multiple sources, including McGraw-Hill Construction. In addition, all counts were confirmed by phone calls to the respective developer or operator and through analysis of newspaper articles around the country.

“Our findings mirror the general lack of available construction financing still prevalent in the marketplace,” said Robert Kramer, president of NIC. “Many regional banks, traditionally the source of construction financing for our sector, simply aren’t lending to the level that they were prior to the recession/credit crisis. Starts were down 32% from the prior year for all combined seniors housing and care properties, including senior apartments, and down 57% from two years ago. We also saw a drop-off in entrance-fee CCRC construction, which accounted for 13% of all units under construction, compared to 22% in 2009.”

“To the extent that financiers are lending on construction or willing to entertain construction, underwriting guidelines remain tight,” added Charles Harry, NIC research director. “Today, you need a lot of experience, a great location, a strong sponsor and more equity in the project than was required 2-3 years ago. In fact, given the increased equity requirements combined with the tighter underwriting, some projects simply are not feasible.”

The report is full of useful information for anyone looking for details on construction activity in the seniors housing and care market:

• Total units/beds under construction by property type.
• Total properties and expansions under construction.
• Total units/beds and properties started in the past year.
• Distribution of senior apartments under construction by market rate, HUD 202 or affordable.
• Net growth rate of current inventory dating back to 1985.
• Numbers of age-restricted seniors housing by property type.
• An analysis of construction activity by metropolitan market.
• An analysis of construction activity by property type.
• Summary of construction activity compared to existing supply.
• Metro market rankings by number of properties and units/beds under construction.
• Separate analysis of construction activity for CCRCs.

“One of the most popular features of the report is a section on rankings of metropolitan markets by percent growth in inventory over the previous five-year period,” pointed out Kramer. “For example, Chicago has seen a rise in assisted living construction of 36.3% in the last five years. That’s an astonishing figure. Looking at independent living inventory, Houston has seen 29.6% growth. Investors and developers can use these insights on construction trends when planning their development strategies.”

The “Seniors Housing Construction Trends Report 2010″ is available for $150. For more information, visit www.NIC.org or www.seniorshousing.org. Or, call NIC at (410) 267-0504 or ASHA at (202) 237-0900.

About NIC
Founded in 1991, the National Investment Center for the Seniors Housing & Care Industry (NIC) is a nonprofit education and research organization providing information about business strategy and capital formation for the senior living industry. NIC is the leading provider of historical and trend data on the industry through its NIC Market Area Profiles (NIC MAP®) Data and Analysis Service that tracks quarterly more than 12,000 properties in the 100 largest metropolitan markets. Proceeds from its annual conference are used to fund research on issues of importance to the industry. For more information, visit www.NIC.org or call (410) 267-0504.

About ASHA
The American Seniors Housing Association (ASHA) was created in 1991 by a number of leading seniors housing providers seeking an effective voice on Capitol Hill. Today, ASHA’s membership has grown to approximately 350 companies that develop, operate and finance the entire spectrum of seniors housing. ASHA’s membership owns and/or operates more than 600,000 units of senior apartments, independent living, assisted living and continuing care retirement communities. Over the years, ASHA’s members have come to rely on the Association for its expertise in three key areas – federal advocacy, seniors housing research, and for high-level networking and exchange of strategic business information. For more information, visit www.seniorshousing.org or call (202) 237-0900.

Source: NIC.org

Annapolis, Md. – Investors new to the sector or looking to invest in the seniors housing and care industry now have a fundamental resource at their disposal: the “NIC Investment Guide 2010: Investing in Seniors Housing & Care Properties.” The report, produced by the National Investment Center for the Seniors Housing & Care Industry (NIC), provides an extensive primer to understanding the unique investment characteristics of this growing sector, including time series data for the last five years.

“The Investment Guide is at the heart of NIC’s mission to facilitate informed investment decisions and provide transparency for the sector,” said Robert Kramer, president of NIC. “We went to great lengths to identify all the areas that investors, especially those new to seniors housing, would need to better understand our industry.” Property types covered are independent living, assisted living and nursing care. Information is also given on memory care and continuing care retirement communities.

The core of the report provides the industry’s first overview of its investment characteristics, including:

• Size and scope of the sector
• Details on services provided by property types
• Operating fundamentals, including occupancy rates, returns, rent growth and loan performance
• Resident profiles
• Expense profiles
• Development in the sector and active capital sources
• Comparisons with other commercial real estate classes
• Information on health reform
• General legal requirements

“This report is unprecedented in that it speaks to all the relevant factors for investors wanting to get oriented to seniors housing and care,” said Ray Braun, managing member, Prospects Advisory Group, who was also task force chair for the report. “It also takes advantage of the culmination of work that’s gone into developing NIC MAP, which is the industry’s leading data provider of key operating statistics. Because of MAP, we were able to include actual time series data to demonstrate the sector’s performance over a five-year period for the 31 largest metropolitan markets.”

“When you look at these trends, the numbers speak for themselves, in that seniors housing has performed head and shoulders above other commercial real estate asset classes during the economic downturn,” said Chuck Harry, NIC research director. “It shows how the dual components of real estate and needs-driven services give seniors housing and care properties a unique resiliency, making them worthy of serious consideration for any portfolio.”

“There’s no question that the Investment Guide is a landmark report in that it shows just how far the seniors housing and care industry has come,” added Kevin McMeen, co-founder of MidCap Financial and president of Real Estate Lending, and NIC Board chair. “Because it is so comprehensive, the Guide also has real value to investors already active in the space. Not only is the data in the report reliable, but the information can provide an important context to help evaluate investment risks and returns.”

The “NIC Investment Guide 2010″ is available for $250. To order, visit www.NIC.org or call NIC at (410) 267-0504.

About NIC
Founded in 1991, the National Investment Center for the Seniors Housing & Care Industry (NIC) is a nonprofit education and research organization providing information about business strategy and capital formation for the senior living industry. NIC is the leading provider of historical and trend data on the industry through its NIC Market Area Profiles (NIC MAP®) Data and Analysis Service that tracks quarterly more than 12,000 properties in the 100 largest metropolitan markets. Proceeds from its annual conference are used to fund research on issues of importance to the industry. For more information, visit www.NIC.org or call (410) 267-0504.

Source: NIC.org