• E-mail
• Print
• Comment
• Font Size
• Digg
• del.icio.us
• Discuss article

American Retirement Corporation Signs Agreement With Kindred for LTAC at Its Phoenix Community

Posted on: Thursday, 28 July 2005, 15:01 CDT

American Retirement Corporation (NYSE: ACR), a leading national provider of senior housing and care, and Kindred Healthcare Inc. have entered into an agreement to sublease space in its Plaza del Rio Care Center for a 50-bed Long Term Acute Care Hospital (LTAC). The Plaza Del Rio Care Center is a part of the Freedom Plaza Peoria continuing care retirement community operated by the Company in Peoria, Arizona. Freedom Plaza Peoria includes 352 entrance-fee independent living units, Plaza Del Rio Care Center with 218 skilled nursing, assisted and Alzheimer's beds and Freedom Plaza Care Center with 128 skilled nursing beds and 44 assisted living units.

Kindred will replace 88 beds at Plaza del Rio with a state-of-the-art acute care facility. It was recently announced that Freedom Plaza Care Center is in the process of adding 21 assisted living units and a state-of-the-art Alzheimer's unit with 20 beds to accommodate the replaced beds. The LTAC hospital is expected to open in the first quarter of 2006 after completion of renovations and subject to the receipt of certain regulatory approvals and other third party consents. Kindred is obtaining regulatory and third-party approvals for this project.

"We are excited about the new relationship with Kindred Healthcare," said Bill Sheriff, Chairman, President and CEO of American Retirement Corporation. "Adding an LTAC to our Continuing Care Retirement Center and the nearby hospital creates the most comprehensive care network in the area. Replacing the Plaza del Rio beds through the expansion of Freedom Plaza Care Center will provide newer, higher quality accommodations for our residents."

Kindred Healthcare, Inc. through its subsidiaries operates hospitals, nursing centers, institutional pharmacies and a contract rehabilitation services business across the United States.

Company Profile

American Retirement Corporation is a national senior living and health care services provider offering a broad range of care and services to seniors, including independent living, assisted living, skilled nursing and Alzheimer's care. Established in 1978, the Company believes that it is a leader in the operation and management of senior living communities, including independent living communities, continuing care retirement communities, free-standing assisted living communities, and the development of specialized care programs for residents with Alzheimer's and other forms of dementia. The Company's operating philosophy is to enhance the lives of seniors by striving to provide the highest quality of care and services in well-operated communities designed to improve and protect the quality of life, independence, personal freedom, privacy, spirit, and dignity of its residents. The Company currently operates 67 senior living communities in 14 states, with an aggregate unit capacity of approximately 13,300 units and resident capacity of approximately 14,900. The Company owns 18 communities, leases 43 communities, and manages six communities pursuant to management agreements.

Safe Harbor Statement

Statements contained in this press release and statements made by or on behalf of American Retirement Corporation relating hereto may be deemed to constitute forward-looking information made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements include all statements that are not historical statements of fact and those regarding the intent, belief or expectations of the Company or its management, including, without limitation, all statements regarding the Company's expectations for the future financial performance of the acquired community and its effect on the Company's income, and the future development of the community. These forward-looking statements may be affected by certain risks and uncertainties, including without limitation the following: (i) the Company's ability to maintain or increase occupancy at the Company's communities, (ii) the Company's ability to obtain the required regulatory and land use approvals for future development, (iii) the Company's ability to successfully pre-sell entry-fee units for new developments, (iv) the risk that the Company will be unable to improve the results of operations, increase cash flow and reduce expenses, (v) the risks associated with adverse market conditions of the senior housing industry and the United States economy in general, (vi) the risk that the Company is unable to obtain liability insurance in the future or that the costs thereof (including deductibles) will be prohibitive, (vii) the Company's ability to obtain new financing or extend and/or modify existing debt, (viii) the risk associated with the Company's significant leverage, and (ix) the risk factors described in the Company's Annual Report on Form 10-K/A for the year ended December 31, 2004 under the caption "Risk Factors" and in the Company's other filings with the SEC. In light of the significant uncertainties inherent in the forward-looking statements included herein, the Company's actual results could differ materially from such forward-looking statements. The Company does not undertake any obligation to publicly release any revisions to any forward-looking statements contained herein to reflect events and circumstances occurring after the date hereof or to reflect the occurrence of unanticipated events.

Source: Business Wire

More News in this Category