The rising cost of construction and tighter competition make it imperative for skilled nursing developers to look closely at their next investment. If a renovation or expansion could be in your future, the first step in planning for a renovation or expansion to your skilled nursing facility (SNF) is a thorough analysis of the surrounding senior living market in relation to your business model.
Balancing market trends and business needs
In a recent article with Skilled Nursing News, Plante Moran Living Forward Vice President Jamie Timoteo provides advice on five points SNF operators should consider before building or renovating their facility:
- Trends in penetration rates.
It's important to look at the penetration over time to see where the trend is headed before investing. - Relationships with local hospitals.
Establishing relationships with local hospitals prior to taking on a project is imperative to guaranteeing occupancy. - Averages in expected length of stay.
Facilities with high turnaround, like short-term rehab, will need efficient operations in place prior to opening to sustain occupancy. - Alignment of core business and new operations.
Your organization's focus is a key element to consider before investing in new capital projects. - Due diligence prior to breaking ground.
Take time to compare your mission, financial realities, and market trends before making a "go" or "no go" decision.
Get the whole story
Learn more about what SNF operators should consider before renovating or building by reading the full article at skillednursingnews.com >>
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