Webinar Q&A: Inside The Wynwood House
Q: Please let us know about how you will achieve the 10% annualized monthly returns?
A: Our distributions are a function of our operating income and the capital reserves we maintain from company operations. We acquire communities in various states of repair and managerial strength. By implementing our specific programs to improve both revenues and expense controls, we generate the capital necessary for these distribution payments.
Q: Will you buy more facilities? Is there a set process for converting them to ASL?
A: Yes, we currently have a pipeline with three additional facilities under agreement and letters of intent for two more, which would bring our total to five new properties. We have been very successful in converting portfolios quickly by establishing a firm foundation for standardization through our standard operating procedures and implementing our “care element” immediately.
Q: Why is this one called Wynwood? Why isn’t it called ASL?
A: We often keep the original name of a property if it has a strong local reputation and recognition within its community. Even when we keep the name, we apply our branding so it is recognized as “Wynwood House, an Aquinas Senior Living community”.
Q: What are the biggest operational and clinical bottlenecks your team still struggles with, even in a well-run community like Wynwood House?
A: We address operational bottlenecks by relying on technology to create efficiencies that translate into bottom-line results. This allows us to optimize staffing ratios so our team can provide hands-on support without compromising care or reducing staff. Our partnership with larger organizations also allows us to benefit from “economies of scale” on the expense side, which helps alleviate traditional operational pressures.
Q: Can you really make money when providing so many services in the mid-market?
A: Yes. Our margins increase through a combination of top-line revenue growth and strict expense controls. Additionally, there is significant market pressure due to a lack of supply—with roughly four people seeking senior housing for every one available bed—which supports the economic viability of our model. By combining institutional-level partnerships with our vocation-focused care, we achieve profitable economics that work for all investors.