Recent Trends in Health System and Skilled Nursing Facility Partnerships: A Look at New Services and Specialized Skill Sets

Health systems and skilled nursing facilities are forming new partnerships to offer consumers access to specialized services, according to a recent report by management consulting company Kaufman Hall. The report noted that while the number of transactions between hospitals and health systems is not yet back to pre-pandemic levels, the $19.2 billion transacted in the second quarter of 2022 is significantly higher than any year since 2015.

These partnerships are crucial for health systems focused on value-based care arrangements or enabling earlier discharge. Some health systems are exploring partnerships with specialized operators, joint ventures, or management services agreements to adapt to changing dynamics in the healthcare industry.

For example, Hackensack Meridian Health recently sold the majority of its long-term care facilities to Complete Care Management, while Tryko Partners expanded its skilled nursing portfolio by acquiring facilities from Virtua Health. These partnerships ensure that patients retain access to high-quality skilled nursing services.

Kaufman Hall researchers expect to see continued activity in this space, with health systems increasingly willing to partner with specialty providers to offer a full range of inpatient and outpatient services. The trend towards collaboration between health systems and skilled nursing facilities is expected to grow in the coming years.