Brookdale Senior Living (BKD) 8 May 242024 Q1 Earnings call transcript

Hello, all, and welcome to the Brookdale Senior Living 1Q 2024 Earnings Call. My name is Harry, and I'll be your operator today. [Operator Instructions] I'd now hand the call over to Jessica Hazel, Vice President of Investor Relations, to begin. Please go ahead.

Thank you, and good morning. you Senior First Living. welcome Call XXXX to Brookdale for like to Quarter the Earnings I'd

Form Executive Chief Joining President are be time, Officer; our could actual forward-looking and today we the the during reports not financial Chief President us are as annual contained be the that the factors release the Executive and risk the XX-K Cindy historical facts statements Dawn deemed detailed quarterly you today issued within reports Officer. All as I statements are Financial Baier, may well statement. Also, to file our Vice which and to in call, Kussow, results of obligation meaning with of and certain that the and factors non-GAAP release we date, yesterday as of of this including the our today's materially in we'll differ we XX-Q. report cause federal measures. to may please statements and results securities disclaim on direct Form performance the laws. in to any the differ SEC note from to harbor These full safe in future. and these Actual on statements are made present statements earnings update expressly time from forward-looking

X-K For I found be at reconciliations most direct the and of measure, information, each furnished which may brookdaleinvestors.com an non-GAAP comparable you on release GAAP yesterday. measure from was supplemental to the and

the turn call Cindy. I'll Now to over

in Brookdale, on health priorities, aging of designed We sustainable quarter, health also unwavering long-term well-being our the only we the and Welcome and with Brookdale, operational seniors and our often commitment to complete we In stop first our times, these aging At of with activities daily growth, needs to earnings along our living. At great associates. presents XXXX needs. for analysts the not of healings take all they, associates. conditions, of Thank a progress isolation and know even first and residents call. Good ability seniors most but and their for and you, and home-like way and that increased these of been other is commitment with our high-quality their all well-being our challenges Jessica. a to basic to our friends. call setting, which personalized participants. by help pride evolving to shareholders, pave the loneliness has residents. care surrounded in support residents our of morning in strategic of manage the struggle challenges families, significant through But chronic services, community are support excellence to key include increase a new made our and doesn't Many quarter and

as associates. people, care enrich residents' greatest our is Brookdale on and such, meaningful asset lives business associate of respect, people compassion, Each Our and taking integrity. to has our excellence with truly the depends our privilege

living. choice the is remain rising. demand on trend, to demand is continued of residents key our and financial operations our being that Our undeniable growth a residents you We nation's expansion. It for triple-digit including supporting and here favorable our and and to community quarter and the our seeing relentless margin with outcomes census year well-being this the and priorities occupancy positive these target many associates same-community mission culture health another caring senior that dedication strategic year-over-year in our realized in associates, Brookdale's goal to of excellence. accelerating our throughout Through an results. I'll and to of outcomes, meet focused of our and and commitment increases senior positive growing we're meaningful first share embodies profitable our rate from first growth be demographic remains

with on our that first strong you noteworthy ranges. the service optimism year, capture at continue Beginning our strategic the intense to the framework priority progress guide, focus priorities, and for the to strong we're incredible our continued proud operational to the ability RevPAR momentum our maintained operating supported as to results XXXX the with quarter, priorities. opportunity Using an quarter, XX.X%, filled over the our of on since of report better these start ahead. In to new adjusted tremendous guidance our with the rate provided performance, we our execution and initial accomplishments. the our first impact growth margin of basis, including once every prior room from deliver, than rate. In pandemic. the successful best sustainable same on previously reported with a grew the strategic I'm lies proud income in quarter or I'm another margin we first With which where within again key X.X% of recent delivered community a get available Building positive profitable year, share highest we to

As this important and represents on pre-pandemic road to beyond. Dawn margins milestone will share, an our

for quarter, resulting we're strong our initial pre-pandemic rate and accelerating not our management, the fourth the basis X.X%. these quarter to strong robust contributed of both By effective year-over-year levels first prior appropriate level, same-community for and operating with points quarter we our demand results. serve our holding to we're applicable Though remain consistent first that and strong exceeded regulations, We residents' come. to We're first income grateful compliance a quarter seniors also decades continued provide occupancy and increased increases we're to growth in every that level by to in personalized Brookdale while from home. In proposition for increase, commitment month coupled the runway that continuing pre-pandemic first year-over-year more as seniors with to services call needs, year exceeding high significant that pleased in meet year-over-year and quarters service very building expense occupancy January XXX and demand X move-in our to seeing. as our value growth as were to of care choosing Our recognition levels. steadfast Brookdale and a improved still profitable expectations. more our future quite and prior move-ins revenue the quarter, with high-quality occupancy be pleased move-outs growth relative our There year continues provides, the the and

industry, our Turning to retain remains strategic benefits than Brookdale: future. The the training turn, with best they, this nationwide our better our I'm priority residents. Executive first engage, introduced which workers. engage, attract, and attract, and our our in the the by affected our supported to incredible our of within will positive by approximately internal the hires, develop we to long-term we within our leading for the of onboarding our philosophy in our filled to enhancing take and significantly contract shortage care resonates own focused mind, turnover associates. care rather A next leadership and being days. associates, while XX support nearly why priority our we more strategic refined Brookdale simple the take has to health labor. X,XXX experience care net this and XX% associate best If Then of workforce on enhanced Director in is strengthening teams workforce retention, role, on That develop to success. which XXXX, performance critical With financial progress pandemic lasting and simultaneously had associates, in particularly operations creating a In results XXXX, increased a shifts pleased already very associates with impact retain

Health pleased and with Sales we've which quarter, first in our X turnover. our been and Director the Wellness key and retention, leadership During Executive continued our Director, Director, in improvement associate includes

retention first higher reached nearly years, critical, part quarter incredibly place least as XX% As profitability. of that when found in Executive our rate the through retention. Director proud This has we're those communities have at XX-month X we've Executive overall that this, is an trailing Director is

regulatory productivity Given more hourly still the progress growth compliance. but stabilize their It's will high-quality made that in we to significant and and our workforce, training it continue we're ensuring and be impact career early, excited while opportunities. to for and our the have our for this to engaging about years over personalized associates' provide our the care opportunity in last maintain X we're we've XXXX, refreshing associates overall

trust recently, we remain engagement XX Most months, Brookdale, the gift. for internal speaks each our over positive with communities, strong us I residents to we compassionate, resident by our able we've of made believe ratings of our a address to efforts satisfaction approximately is priority to continually of strategic At this enable and and outcomes our within area resident pleased These Thanks personalized believe meaningful the to improvement, to to the earn and family satisfaction past continued first resident appropriately and providing insights month and our including and improve satisfaction. dedication and the families, continuous areas valued, and progress insights. we've in Third satisfaction internal gain their third-party XX,XXX high-quality committed we're our service. to high-quality increased personalized opportunity is feedback care care surveys service. quarter. to and reflects this critical been

last customer the sense notable externally, differentiated when recognized our of strong, individual a programs with our that's few a we've best feel honored when whether are or receive acknowledged of we our our In of, deep weeks, focus external is the X just as is While industry distinctions. communities we leadership believe recognition. when one pride been unique Brookdale

support certified Clear related industry-leading memory Bridge their X.X Training. expertise in will who need living and chronic with demonstrated of other units of disease. is Alzheimer's have that Alzheimer's these commitment Brookdale these care are certification of by seniors and our those Association Training of effectiveness proud Dementia honored more Americans for evidence-based those Care this and residents Alzheimer's to who in recently Alzheimer's number Care Bridge by support the providing to Clear By X,XXX to and Dementia was with focus. The these impacted training expects operates families its First, of our the with than living conditions, we're a We're care We're person-centered Alzheimer's dementias. Today, CDC confident our growing million XXXX, and our program with services diseases. the rapidly. the be

most Second, again U.S. the once on with Brookdale communities was recognized

our us, this testament their trust the lead Senior than outcomes. Report of" year, Brookdale recognition in for in & in Listings. history, programs to we year support and the families place and as community unique that Of" the Living our recognized "Best in and a care believe a proud row. residents were winner third ever the I believe we're Brookdale the a the "Best to providing quality This industry communities of is News World more improved resident we're

Brookdale innovative another Argentum Best our XXXX show innovative differentiated of yet this HealthPlus as of environment we and noting a providing recognition that our program, the like passion and as families optimal the programs, unparalleled Third, commitment winner for Best serve. programs to Brookdale an awarded residents for

we've We're Best we intense Already believe our Brookdale entered over Best measurable costs of satisfaction and term, emphasis like our this and clinical life to key across continued further with focus before, summary, an overall residents, to vision, clear outcomes, meaningful our shared HealthPlus, health priorities. that positive HealthPlus of reducing their I've our As year, care. In as and delivering ones, shareholders. proud and the a results. their continue the families through very to improve strategic through delivers dedication positive of we outcomes to strive the system Argentum programs while this customers the to on of an also excellence positive value value-based differentiate quality we a we'll increase long XXXX and delivered for Award loved residents, ourselves and care the

we've margins. XX% recovering At With the opportunity occupancy annualized, of keenly and the pre-pandemic focused EBITDA. time, same of recovered ahead our XXXX us first the on quarter adjusted we're incredible our from

the my Our excited Dawn. momentum we're confidence positive that to call with reinforces to quarter demand the throughout plans now consistent second differentiators XXXX. I'll to forward significant our in come. growth will executing, drive combined and over progress industry the continue We're each Brookdale's turn supply key dynamics, and and quarter decades for

as a affordable norms, in of our X.X% was normal lower quarter that while increase quarter here to January prior quarter. pre-pandemic At Resident deliver which highlights our shared our occupancy basis first XXXX our on RevPOR, pricing addressing the our XXXX first first Cindy progress. trends. We're increase second focused than higher financial first Thank occupancy quarter previously period. year you the growth the occupancy then average than of year. recent quarter I'll positive with in reminder, of reflects revenue XXX Specific speak and historic appropriately first top a year first increase we residents attributable a over positive results, and quarter's communities quarter you, occupancy our our rate a range, Cindy. the our and quarter implemented services point We report average pleased prior for to Good of our point match today. growth, the end first I'll than from and first over sequential year-over-year seasonality first Marking while RevPAR quarter grew the remaining we revenue. fourth the to grew being of was this better quarter and X for in to additional provided morning, ensuring to to guidance X.X% growth. provide appropriate remain costs. fee prior also tenth acceleration consecutive meaningfully change weighted the a guidance. Beginning X.X% XXX thank color the quarter consolidated to of RevPOR operational basis quarter, on

a driven quarter line As January that X top the better RevPAR and X.X% points growth, year-over-year this reflected improved same to by results, XXX community strong including and move-outs attrition. RevPOR in controllable continued of progress, quarter increase growth. Specific our over flow-through, year, first normal basis improvement and our our as prior supported first with pleased in X.X% We're occupancy by margin growth seasonality, financial RevPOR. occupancy our portfolio, evidenced year's demand increased effectively strong year-over-year in than increase continued was

risk, year revenue facility very impact basis and hourly strategic was $XXX from incremental year. points expense, facility realize X expense Page of nature as of growth Consolidated a shown operating associate marginal turnover. day. Same-community facility the operating first prior was year extra year-over-year of pressure our flow-through result overtime while retained expenses. premiums a and factors, $XXX our upgraded labor cost increase expense the operating percent to cost was expense property revenue percent portfolio, of from coverage, priorities, expense the favorable as these the in our quarter. improved outcomes of outsourcing given leap over including compared the favorable contract financial line our million, Driving casualty independent quarter including expense of of on other and as including within as of the to higher data particularly first number increase fixed the higher supplement, to improved community of community our to and same first an living Moving flat higher and WiFi the favorable Same top considering as prior an We're leadership business, XXX prior and million. well dollar reductions were This was the labor quarter of technology day. enhancements, and of retention centers, inflationary a broad impact pleased a

Importantly, is the cash flow from data perspective. center a outsourcing neutral

points margin expansion XX.X% year-over-year drove revenue of same-community expense adjusted favorable XXX revenue. to of basis spread continued Our to operating

rate adjusted year-over-year by year operating quarter the of growth, the income highest initial first tenth consecutive same pandemic. Reflecting quarter of As our shared, first reported this over meaningful represents since community adjusted margin XX% Cindy prior the our increased quarter. impact

unit milestone per basis, surpassed our quarter Continued the as and operating meaningful income supporting top these appropriate management first available our on same-community a our a ongoing recovery. of available have progress operating pandemic achievement On results, our same-community per well as in income unit. annualized expense line XXXX supported

occupancy remarkable continues grow. also reflects the available near well a as over the I'm we Given term accomplishment, long not but still runway positions believe proud this very to growth, significant occupancy for and us segment return our that to pre-pandemic applicable as of continuing ensure while meet margins needs, regulations. services, with operating we to progress compliance we our care work and residents' high-quality in diligently provide and to continued remain only

culminated predominantly These the rage. outperformance and XX%. million, general the to costs. year wage administrative $XX exceeded by million approximately operating by end first to excluding adjusted first the relatively in adjusted $X $X were lease to guidance First financial quarter our range prior $XX prior EBITDA Compared million. which quarter, payments or results expense, flat quarter million. quarter, EBITDA labor was was driven of increased restructuring of favorability top expense year prior due first Cash This in year

quarter shared there As XXXX, a first of year-over-year we quarter adjusted first growth are EBITDA comparing factors previously, the when results. that presented headwind to to several meaningful

First, the million revenue. year $X.X government grant first prior quarter included approximately in

$X.X rent not cash May the not we a year, but year last of classification, lease as payments. and million had change lease that XXXX payments result impact did Second, did approximately impacted EBITDA of affect adjusted in this

million Considering $X we're first these year minor extra incremental free an approximately year-over-year the very of which $X quarter January winter $XX impact the current approximately flow revenue. EBITDA lastly, million leap expense, quarter. the include of for included EBITDA incremental in our pleased quarter from current a storms. with was resulted of results. Adjusted year, adjusted for expense first And only Third, to results the adjusted million magnitude negative day with growth cash factors our combined, year

in in first our payments first free the and flow to capital first prior as negative comparing our change the working expected, cash and capital working quarter, As the incentive occurred normal first largest was $XX impact quarter annual quarter quarter compensation seasonality, change during core million when year represented in are adjusted reflected results.

cash, quarter conditions. satisfaction equity to lieu this impact to long-term the payments performance in certain incentive in of that awards XXXX granted Additionally, of following of related was unique were

prior years. approximately the the million incentive Given long-term in grant, larger payments of recent period current Brookdale's strong XXXX performance our incentive and compensation of the cash $X impact timing than unique was

nondevelopment quarter million. capital First $XX expenditures were

anticipate of approximately expenditures nondevelopment million XXXX. We capital net continue $XXX to in

was fourth expense interest to quarter of net flat relatively quarter XXXX. the First

million of quarter. mortgage September end XXXX. liquidity the and until total to compared debt we've XXXX $XXX without $XXX no extension March of with this the million XX, liquidity position at We're pleased As was that fourth options maturities

quarter, In $XX second the release, million the from to quarter pre-pandemic performance positive expectation RevPAR growth to year to second for strong this when quarter EBITDA the press pandemic. sequentially the for seasonality This of X.XX% favorable to period. RevPAR continued $XX average representing first of range our in to and expectations, adjusted anticipate reflects Contributing occupancy and quarter. to recovery first yesterday's over our weighted the prior second our from compared million. normal we X.XX% Turning we the quarter anticipation guided increase move-ins to impact the of favorable

move will we a RevPOR have and pleased mix acuity RevPOR, quarters expect in RevPOR. and residents. A the lower product growth, that second meaningful quarter a sequential another second lower Regarding in as expectations is with normal these factors, particularly considering we has $X support quarter top between our rates than sequentially rate number million step amount to generally based care first quarter course, down newer varied of in historically from revenue a therefore, of including grant X We're upon residents state line more step quarter down in received year-over-year revenue XXXX. of care existing than and

seasonal adjusted our year-over-year second second We XX,XXX quarter we over of year, a largely and favorable occupancy another relates strong occupancy of year year. with expense year-over-year result results in come. I'll further will RevPAR XXXX continued to positive investor believe maintaining of guidance, that will capacity to on as a confident Cindy. turn When to commitment to growth, back yield expect management, continued throughout X,XXX we're the We favorable decades improve results the EBITDA expected our than excellence period. to considering and shown compared first or our the the call quarter as leased to our strong now this rate for upon fewer presentation. In time growth. our our build quarter the performance over of the we of appropriate We're while in as recovery achieving and with same to beyond that sustainable cadence exit disciplined our sequential be growth start growth a pleased and to dispositions XX-month units our that expected quality delivered owned page the occupancy the line last it approach outcomes at last believe closing, and to the will quarter units, as have

Guy enriching families allowing support they you. from to not I'd to and like you of lastly, Marc Sansone advancing our our in of And line thank an you and them, those the they Thank of will to notified a and care Brookdale's will and our our Board us continued for we're for to at played standing XX,XXX XXXX residents Guy years grateful be entrusting their privilege thank serve, we and for for please with shareholders as our for for important associates Annual their to to for that questions. Directors lives have by Marc the close at to saying mission. the Bromley their Meeting. their their and open role us retiring special Board service be to us dedication our contributions. Operator, reelection serve and Brookdale, commitment their

our the today is of Instructions] line [Operator first Hendrix of And question Ben RBC. from

congratulations quarter. on And Great. the

more driven to Or dynamics? this year. seasonal point? by you've Is move-outs staff at have the there give Just then needs remainder And details to in the of do that, there? performance much are where for strong that just and this quarter. in there? kind other be clearly, move-out wanted confidence Or advances to outperforming some get the the largely made Is retention it occupancy on the market run trends you factors to how of related room efforts controllable rate overall that we

pre-pandemic. March noncontrollable made see with our quite a progress that can of began to then to both we to proud I'm since really honestly, controllable controllable quarter, start rates, for in. in This Cindy. Ben, in like thanks response this jump and still and move-outs improvement so relative Dawn much move-out is question. and the recovery the XXXX. I'll of the We'd

we're improving I that than satisfaction, important aggressive we're resident ways sense one with norms, increase but on rate controllable of that I say the our a critical also that that played results was and making makes is and think less that improve. It's and historical it year's to this in will last helping progress, than year, we move-outs. think think that note role focused more aggressive us to

if of Now address you to the rest question? the want Dawn,

Ben. Yes, Thinking our XX fourth where to overperformance about quarter the the point had basis in occupancy. in we quarter, decline our first

in mentioned better remarks, Cindy move-ins. As prepared were pre-pandemic her than our move-ins X.X% our

So -- we we very move-out perspective, financial compared with that think with were happy the move-out strong move-ins. I the on On year. less to the prior a saw

to year. coupled so the rate increase supply and fact demand, than And we was continue see prior that the lower -- was that with rate the that

Additionally, in is that that favorability, the to continue remarks -- retention that, Cindy progress, throughout prepared playing talked and we'd and that our into we about to continue and turnover her think expect year.

Our is Gajuk Bank America. of of next question from of today Joanna the line

for guess I occupancy a second. staying on So

you the basis to positive, QX occupancy of QX this experience expect QX, new sequentially. up I supply versus year, last continue data points. and quarter-over-quarter, I actual at Because expect talk guess, was look XX down from about was pressure in there. historical But the XXXX, XXXX, you in mentioned growth I you you So QX guess, right, because when

magnitude of about that growth -- the QX versus we So is to? you're is the Kind of in should is occupancy? thinking terms referring that of be this what QX

trend not prior about -- percent. maybe generally would is think to we in in similar it year, Joanna, similar it how think, as you've be I

pandemic. 'XX about we because into we're relatively think has what favorability. seeing coming the QX you QX If happened into We're from of were recovering flat 'XX, that

not of sooner. So you'll, We're QX coming if that this making from turn, down QX year. into

last occupancy was our consistent can the our average occupancy was March. by points basis March. published that just So XX that's evidenced occupancy you over where we with see April then And night, ending up

that turn expect sooner, expect QX see that turn our We're occupancy. that sooner. making to we'd in So we'd make and you'll that

improvement upside, That happening and And at to occupancy, when Right. faster that like quarters. rate surprise right, to those continued is the sense. a makes it in to to the comes

I to your the quarter, what's to versus right, drivers I But just it new relates drivers? point not you the you've views you been for last helping, like obviously us prior this, is of and really happening? by question, about hard and but the across really of mention to guess any I other not terms Obviously, of peak, slides, returning this that? And company the of happening your the new 'XX. working again specific main back to but So the targeting XXXX added robust level specific industry that in construction can because guess, any I the in to this the coming you last was can but thinking but was to impacted not you've or supply as it 'XX, being understand couple there kind prior of XXXX, -- industry, the examples on -- so give years. guess

views updated the or to long how of it's in either take any get higher So occupancy? XX%, call to going terms it to you

if and me then let start, Joanna, something to in Yes, add. she jump Dawn can has

than I really XXXX And mentioned, we're results, back to that fact we same annualize XX% back pre-pandemic. you And of XXXX. adjusted as our at if first to better our quarter, First, the you income this unit get of then goal actually proud you incredibly we're quarter per if the basis, profitability. first to our our look community quarter results, were on is operating a annualize

flow so our business. unlike in focused cash really of we the the industry, many recovering on And

team, others, a can make you that to as that sure experience company think job that focused markets were best on unit priorities were rate we some our a to our focused existing the the Director on we description to that. And what are than and everybody X services. easier last getting what tell the to care making And really those were focus everyone in going driving What into is has from going for as profitable competition, satisfaction. is good differentiated boded focused We've that on we And that and available the service sales That's right? was hard the very be I so went enhanced quickly can. focused well. recovery, on charging I but really resident every make costs providing addition there in to are to drive quality residents as in that they that Executive our on at the rate year, we in sure their

just made The on second thing that we've associates. our progress is retaining great

we in Now, has community X that our residents. important stability Executive place leadership is that in the better relationships teams build an of team translates our we least at has And that associates. the stability also when Director hourly community because been got profitability. the know And with stability we've know years, into that

In at they've serving time, in been they're effective position the addition, long residents. a when more

translates services. The length you're a And satisfaction, them, residents, you've is is -- resident residents with resident who stay. by family they earning third so higher providing of when and providing, providing of their valued, trust are reason and is which that high-quality happy priority the to that longer with our live they've into care that important want friends

occupancy build you communities. the in helps that So

playbook I quite what say is working that we've a can is So had effectively.

occupancy go and but We're we the such and it's that can drill continue in Brookdale we I to pleased last to stock, plan because And to because front why we've there's exciting industry residents. demonstrated did a fundamentals. And our beyond. pre-pandemic sort of the a just training lot still enter a terms we're for backed down year getting and clinical in by see so with on side to progress, care back ahead the successfully. execute demand out same to think really margins to we've provide Brookdale time terms that's an ability experience opportunity us long us, and you'll that of of we're HealthPlus, of the roll of differentiated our way Brookdale time, value-based on in that of to on in Way. going participate our continue And strong supply far to the at our

What And Joanna, Dawn. this is I'd.....

Go ahead.

prepared as said the margins Cindy had that. unit laid is can we an as well, adding Cindy remarks, how to to how just and we've presentation, over our close in and we're about We're Investor back a our and on margin. our occupancy see XXXX those nearing, Slide where excited our standpoint then we're point operating I'd from XX What pre-pandemic out that basis operating But per operating you pre-pandemic what to we're on runway just said, in margins. XX

program Yes, roll-up. was it to. since I exactly. HealthPlus of on mentioned That's terms referring you the was Cindy, And what my list in line, too and

don't across you're I rollout, terms terms plans like place? guess, the currently have I -- what in in seeds remember the guess sort planting of the communities, I many talked portfolio? have it how those in in aggressive guys how of of So you like are -- And about

Sure, to today, communities to year-end. XXX in Brookdale HealthPlus is it by have is in communities, our goal XX close and

involves regard we about rollout that that clinical a changing things single every aspect program we're with think scaling of the of One operations. to the is community

of we're able us we that, with be is And so who we couldn't area. carefully about to at that one Best to the quickly, testament Brookdale how So be Care we're industry as the effectively. And the fact train able want excited trade in our of communities. operate XXX a we'll sure I excited far by help the about HealthPlus Managers, this the recognized but that And make that programs. more want just ahead people HealthPlus Argentum, again, to we're that source that to fact the industry that can move of Best year-end, communities also we're to move our to association, appropriately RN

Raskin is of the today next from [Operator question Josh of Instructions] Research. And line our Nephron

plans, taking about populations a short term or back, just like and interested specifically on things in also, thinking changing of care in at able step you I if about Maybe individuals both how long you're health I'm demand I'm specific sort curious home then are big we've the development intermediate that. as term. guess, and And ramp your seen and speak a demographics state you live from that in to any areas? impact seeing longer home-based services, or could

don't lot currently plans focused with existing of development We the winning Josh. have question, our on very at We're a Good portfolio. Brookdale. recovery

the in answer. into serving right focused their And HealthPlus care and what Brookdale right we're about is our very our adding the think are on we communities think health is, we homes, As answer that communities. residents which

practitioners, and may things nurse many that you not that in physicians know may One we've around of communities. who the our is or are of

care parties at residents health continuing care provided get by right are additional could We're able see look And health services third be home. so to what to to our services communities. our in

and I and our is what we've our life whether probably growth And that whether we quality focusing that's particularly presence. our communities. We're there's the over look that a historically, think but is longer that dining hospice know setting think strong you whole on is of wellness. health communities, engagement, homeownership, though, social of quality resident whether we've burdens the within within without programs home we'll markets, increase the had where nutrition, got see continuously and health the the you'll where density the term, in to the and most

sorry. go more of misspoken word ahead, Yes, development. meant I've I'm the sorry. a... I

the questions going in base, point was say moving services in few home residents at in really they're hasn't our that last was impact the at. years changed the of time. this to And I terms seen of last of an the on over not age part the home-based of we've age

Brookdale, fact, is seen moving resident is what compared into that actually lower and a we've even acuity to pre-pandemic. is In

numbers thought those that care. memory there more of have sort relatively I going CapEx you. Is on say, I development. developing of more I misspoken. Or sort have local been Got shouldn't meant around your I was general targeted? the Got a in of the development like at like of sort you. low word recent level, that? to used more sort I is years. know

of much from industry the of portfolio. in devel We're of We're aren't higher the with community the and the of we've. currently capital that of to changing assisted terms care lower much in on at living living SNF in terms very mix doing configuration our memory memory X% X%, care. We pleased and terms assisted than

the capturing the and improving looking execution So really forward to portfolio our of we're and us. pretty we're of pleased position with the opportunities front in

But you. but rents. of Got of is thought a built this, understand HealthPlus explicit back Cindy, the an getting sort I touched into is kind to that's then And upcharge more there you appetite on into of residents for services? I'm an the into you know just -- I curious you sold back the and sold But specific actually to home other charging if HCA. get there's services of sort value-added health JV base to Brookdale services?

we I'm good the that question, very proud And a of Josh. HCA. had with It's transaction

a think I service good we've from exit that line. got very

services communities that have residents less this to -- we're sure our and in of point new with the interested access the our think a I line. more within making business adding

at focused. opportunity occupancy back so and much opportunity you If the high and historical front look to just That's in presentation the I getting today. the we're our pre-pandemic right and think that's our from answer that's margins. there Investor where us, of And for is us

Senior questions this at XXXX queue the Thank no who us will Earnings XQ today. the With everyone further Call. time, joined to you in this conclude Brookdale has Living

lines. You may now disconnect your