Our feature article, authored by noted health-care attorney Peter Pavarini and Lancaster Pollard’s Matt Lindsay, focuses on the impact of health-care reform on hospital and senior-living providers in light of the U.S. Supreme Court’s landmark decision last June.
Other articles in this edition spotlight: how to strategically plan for and finance health information technology upgrades for hospitals; the defeasance process in debt financing for senior-living properties; and a historic building that found new life and a new long-term debt solution.
Additionally, I am pleased to introduce The Fiduciary Focus, the new name of The Nonprofit Minute. The new name better reflects the feature’s core readership-board members, investment committee members and leadership of nonprofit organizations. The Fiduciary Focus will continue to cover timely investment management topics for private and higher education, foundations, nonprofit senior living, hospitals and other nonprofit organizations.
As always, please contact us if you have any questions on these topics.
Thomas R. Green, CEO
In late June, the Supreme Court of the United States (SCOTUS) narrowly ruled that the Patient Protection and Affordable Care Act, commonly referred to as the Affordable Care Act or ACA, was for the most part constitutional. Now that the high court has green lighted this major reform of the nation’s health-care system, we have some answers but just as many questions regarding its impact on providers.
In health care, technology is critical to ensuring patient safety and clinical quality as well as attracting and retaining qualified professionals. With the industry constantly changing, particularly with the enactment of health-care reform, hospitals and health systems must strategically plan for and finance health information technology (HIT).
As interest rates remain at historically low levels, more borrowers are looking for long-term fixed-rate refinance opportunities to take advantage of significant present value savings. However, for borrowers with fixed-rate conduit loans, such as commercial mortgage-backed securities (CMBS) and real estate mortgage investment conduits (REMIC), determining whether or not to “prepay” can be a nuanced process. This is where defeasance comes into play.
The residents at Tip Top Apartments in Omaha, Neb., have two unique and historic claims. Ford Model T automobiles were built in their living room and bobby pins and hair curlers were invented in their kitchen.
Active versus passive investing is a topic that institutional investors have fiercely debated for many years. While many institutions are focused on whether active or passive management is the optimal solution for the entire portfolio, a more sophisticated approach is appropriate.