Cost of Care study by LTCG featured in McKnight’s Business Daily News

Rates continued to rise for nursing homes but not assisted living as occupancy fell in 2020

By Kathleen Steele Gaivin

Skilled nursing operators charged higher rates amid lower occupancy during the pandemic, but assisted living community rates were a reversal of a five-year growth trend, according to the annual Cost of Care report and analysis from LTCG, announced Tuesday.

“Skilled nursing rates continue to rise, and we have not seen a change in that trend for the entire time we have been conducting the survey (since 2012). In those eight years, the average cost for a private room has increased 19%,” said Matt Capell, LTCG’s senior vice president of provider solutions.

Average skilled nursing facility rates increased between 2.5% and 2.8% in 2020 depending on room type, which is consistent with their five-year compound annual growth rate. Assisted living community rates, however, reversed a five-year growth trend of between 1.5 and 2.3%, falling between 0.4 and 1.8% versus 2019.

Private room skilled nursing costs ranged from $79,570 in Abeline, TX, to $179,580 in Buffalo, NY. For assisted living, a one-bedroom unit ranged from $3,405 in El Paso, TX, to $7,671 in New York City.

This article was originally published in McKnight’s Senior Living Business Daily News.