Articles and Blogs

In the past two years, many health systems have been selling their long-term care, home health, nursing home, hospice and lab businesses, largely due to rising costs and regulatory pressures. This trend reflects a shift from ownership to partnership models as hospital systems focus on cost reduction and operational simplicity. Despite some financial struggles... READ MORE

Health care experts questioned Kaiser’s strategy for its new health system, Risant Health. Kaiser’s strategy involves developing a nationwide health system aimed at large corporate customers that would compete with Amazon, Aetna CVS, Walmart Health and United Healthcare on cost. Critics note that Risant doesn’t have its own network of physicians (like Kaiser has... READ MORE

A recent report highlighted the work of the Memphis Medical District Collaborative, a 2.6-sq. mile medical district east of downtown Memphis. The district supports a holistic approach to community health by offering real estate developers a three-tiered grant program in partnership with regional banks, including seed funding for architectural renderings and “gap funding” to... READ MORE

CBRE, Colliers, Marcus & Millichap and Newmark all reported a significant drop in earnings during the second quarter based on transaction volumes that are down about 50% from a year ago. CBRE reported negative cash flow during the quarter, JLL reported a 99% drop in net income from a year ago and Marcus &... READ MORE

In its latest capital markets update, H2C noted that July nonprofit hospital bond issuance was down 57% year-over-year and down 52% year-to-date (compared to January through June 2022). CMS issued a final rule that will increase payments to SNFs by 4%, or $1.4B, starting in 2024. CMS described the increase as a “parity adjustment... READ MORE

The Biden Administration proposed a new rule to strengthen mental health parity under health care plans. The proposed rule, if finalized, would require health plans to provide members with equal access to behavioral health services. The rule also requires health plans to study the impact of plan restrictions on access to mental health and... READ MORE

In a unique approach to address the current nursing shortage, Trine University and Cameron Memorial Hospital broke ground on a 32,000-sf nursing education center in Angola, IN. The facility will house training programs for Trine’s Associate of Science in Nursing program as part of a partnership with Cameron to recruit, train and retain nursing talent. A KaufmanHall report on Q2 M&A... READ MORE

Nearly 2.2 million people have moved to the Southeastern U.S. over the past two years, creating a $100B wealth migration. For the first time in recent history, Florida, Texas, Georgia, the Carolinas, and Tennessee collectively contribute more to the national GDP than states located in the Northeast. Inflation is beginning to ease, according to... READ MORE

A recent report on construction costs and materials prices found that hospital construction costs in some large cities are as high as $970/sf (in Los Angeles). Of the large cities surveyed, maximum hospital construction costs were lowest in Las Vegas (up to $590/sf). Cement, concrete, structural block and gypsum materials all had double-digit year-over-year... READ MORE

California officials have come to an agreement on how to allocate $19B in tax revenue and federal funding. A large portion of the funds will go to increasing Medi-Cal reimbursement rates, help struggling hospitals, and ease health care workforce shortages. A new article takes a deep dive into health care utilization trends. Outpatient surgery providers are reporting a surge in patient volume as... READ MORE