Capital Finance
Hospitals are one of the most expensive commercial structures to build or renovate. Before green lighting a project, hospital executives must confirm that new construction will address existing pressures, as well as attract and serve patients for decades to come.
On Monday, Chicago-based Ventas Inc., the largest U.S. healthcare real estate investment trust by market value, approved a pair of deals that total $3.5 billion.
Hospitals in Georgia have struggled financially in recent years, as uncompensated care costs rose after the recession and the state rejected Medicaid expansion. But one standalone facility decided that affiliation and clinical integration might be the right path to stave off closure.
If you are considering buying a minority interest in a medical practice or other healthcare business, review the seller's appraisal carefully to make sure it is of the appropriate, specified equity interest. Are you really getting a "discount" when it comes with little to no control?
It's not impossible for hospitals to obtain capital in today's volatile credit markets. But it is imperative to be thoroughly prepared before seeking funding, as there are new areas of emphasis you should expect when approaching creditors.
The Federal Trade Commission's blocking of hospital and physician practice mergers, as a way to purportedly prevent monopolies, is hurting the very people the FTC claims to be helping -- the patients themselves.
With the Massachusetts Attorney General granting Partners Healthcare System a long-term lease on life as the dominant provider in Eastern Massachusetts, it's almost certain that the state and its residents will continue to pay above-average healthcare costs.
Knee replacements now account for over $6 billion in global sales annually, and this number is expected to grow as the population ages and improved accuracy makes younger patients candidates for therapies.
Investor interest in medical office buildings remains very high. Indeed, investors have plenty of access to capital, making it a very good time for owners, including some hospitals, to consider selling such assets.
As the federal government continues to cut reimbursements and private insurers follow suit, many CFOs are having a hard time justifying buying new property to expand services, however, in some cases, it shouldn’t be ruled out.