AdCare Announces Recertification Of Jeffersonville Facility
ATLANTA–AdCare Health Systems, Inc. (NYSE MKT: ADK) (NYSE MKT: ADK.PRA), a self-managed healthcare real estate investment company that invests primarily in real estate purposed for senior living and long-term healthcare, today announced the company’s Jeffersonville facility has been recertified by the Centers for Medicare and Medicaid Services (“CMS”) and has received a new Medicare/Medicaid provider contract.
Bill McBride, AdCare’s Chairman and Chief Executive Officer, commented, “We are pleased with the rapid progress of our new tenant, Peach Health Group. It is encouraging that the Advanced Health and Rehab of Twiggs County facility (formerly named Jeffersonville) has been recertified so quickly, including receiving a deficiency free survey in the process. Attaining recertification of the Jeffersonville facility allows the operator to bill Medicare and Medicaid and begin paying rent on the facility. We anticipate the recertification of the Oceanside facility in the near-term, and when received, all facilities will be back to paying rent.”
The Jeffersonville facility was decertified by CMS in February 2016 while subleased to New Beginnings Care LLC. Since that time, the company has subleased the facility to a new operator, an affiliate of Peach Health Group LLC, and worked closely with this new tenant to identify and make significant improvements to the physical property by investing over $1 million in efforts to regain CMS recertification. As a result, the Jeffersonville facility has received the necessary licenses and agreements necessary to begin billing Medicare and Medicaid for reimbursement. Annual, full rent on the facility is $636,000 per annum.