Feasibility Analysis of Converting Nursing Home Beds into an Assisted Living Program

Client: Bon Secours New York Health Systems
Faculty: Amy Goldman, Roger Kropf
Team: Tony Abraham, Viktoria Grigorian, Mark Krugman, Prachi Nagda, Raghuram Posham
Year: 2011
Bon Secours Schervier Nursing Care Center is a highly skilled nursing home with 364 beds. Located in Riverdale, Bronx, the facility cares for geriatric resi­dents from the surrounding New York City area. The New York State Department of Health has initiated an Assisted Living Program (ALP) with a goal to add 6,000 ALP beds, while decreasing an equal num­ber or more of nursing home beds. The Capstone team was brought in to deter­mine how Bon Secours can provide ALP services that meet the needs of the local community. The team extensively researched ALP regulations and protocols and per­formed a market analysis of both current and prospective residents and patients. The Capstone team provided Bon Secours with a preliminary assessment of financial feasibility based on payer mix of Medicaid and private pay.