Private investment purchase and nursing home financial health.

ABSTRACT:

Objective

To explore the impact of nursing home acquisition by private investment firms on nursing home costs, revenue, and overall financial health.

Data sources

Merged data from the Medicare Cost Reports and the Online Survey, Certification, and Reporting system for the period 1998-2010.

Study design

Regression specification incorporating facility and time fixed effects.

Principal findings

We found little impact on the financial health of nursing homes following purchase by private investment companies. However, our findings did suggest that private investment firms acquired nursing home chains in good financial health, possibly to derive profit from the company's real estate holdings.

Conclusions

Private investment acquired facilities are an important

SUBMITTER: Orfaly Cadigan R 

PROVIDER: S-EPMC4312184 | biostudies-literature | 2015 Feb

REPOSITORIES: biostudies-literature