RYM - Ryman Healthcare

[Beagle]

For me it was a no brainer. Dad had the early stages of the onset of dementia and Mum was facing living alone in a quiet street where most of her neighbour's were away during the day and maintaining a 50 something year old house all on her own. I knew she would be lonely when Dad died and we live a full one hour drive away so can't be there as often as we would like. Mum knew quite a large number of residents in the local retirement village already and she is much closer to her local church there too so when she eventually loses the ability to drive I know she can catch a lift with her friends to the shops, church e.t.c.

Dad passed on a few years ago now and she has been fairly lonely seeing as they were married for nearly 60 years. She has pretty average health now and is on a large number of medications to keep the old ticker going and everything else spluttering on okay. Knowing she has the support of on site nursing care, panic buttons in various rooms she can crawl too if she falls e.t.c. and supportive residents that look out for her is a tremendous peace of mind as is the fact that my brother who has a caring nature lives just down the road too. She still enjoys many social things at the village and I know for a fact that she is much happier than she would have been if she was stuck away in her former quiet street mostly on her own. Peace of mind is a commodity that's hard to put a price on. I guess there will always be a percentage of kids that feel disaffected financially but I would hope most see the bigger picture.

[couta1]

So we're having the annual beat up on retirement villages that offer a license to occupy, these companies are doing the people that occupy them and the Government a great service through offering a great secure lifestyle and plenty of social interaction(Don't underestimate how important that is) and without them the health budget would blow out completely and we would have a large crisis on our hands. These villages by and large are vibrant happy places and I'm afraid I can't say the same about the home care based model which in many cases leads to mild to severe neglect( Sometimes that even comes their own families) social isolation,poor nutrition etc etc

[Bjauck]

For me it was a no brainer... Peace of mind is a commodity that's hard to put a price on. I guess there will always be a percentage of kids that feel disaffected financially but I would hope most see the bigger picture.

Retirement villages definitely tick the boxes for many people. I am sure children and grandchildren want the best for grandparents. The best thing may or may not be a move to a retirement village.

There are definitely many disaffected people especially in Auckland I would guess. Auckland house prices at higher multiples of average incomes will undoubtedly preclude more people from rustling up a deposit and stepping onto the first rung or moving to a second rung of the property ladder. Wealthy parents or a nice legacy will give a helping hand to some! Since the 1970's and 80's wealth and income disparities have grown and NZ home ownership rates have dropped from 73.5% (1986) to 64.8% (2013). No doubt, the trend has continued since 2013 and is more pronounced among young adults in Auckland.

[Bjauck]

So we're having the annual beat up on retirement villages that offer a license to occupy, these companies are doing the people that occupy them and the Government a great service through offering a great secure lifestyle and plenty of social interaction(Don't underestimate how important that is) and without them the health budget would blow out completely and we would have a large crisis on our hands. These villages by and large are vibrant happy places and I'm afraid I can't say the same about the home care based model which in many cases leads to mild to severe neglect( Sometimes that even comes their own families) social isolation,poor nutrition etc etc

Whether from Home Care or in Retirement Villages, there have been cases of neglect and isolation. A poor senior in a poorer suburb is less likely to be able to afford to buy a licence to occupy in a retirement village, so may have no choice but to rely on home help and a possibly deficient family network. A choice may arise, if they were assessed as being eligible for rest home level care.

[couta1]

Whether from Home Care or in Retirement Villages, there have been cases of neglect and isolation. A poor senior in a poorer suburb is less likely to be able to afford to buy a licence to occupy in a retirement village, so may have no choice but to rely on home help and a possibly deficient family network. A choice may arise, if they were assessed as being eligible for rest home level care.

Yes I should have clarified when I referred to home based care ,I was comparing it with the care received in the care section of these facilities not the license to occupy section. Those care sections still provide all the positive attributes mentioned. Many people under home based care are eligible for rest home level care but for them to actually get to a rest home can be a complex puzzle to put together in many cases.

[Harvey Specter]

I know people who love the retirement village ambiance and lifestyle. Some treat their retirement units as the ultimate lock-up and leave so that they can easily go away at the drop of a hat. They were aware of the terms of their contract and entered with their eyes wide open. My parents prefer to stay in their large old property for as long as they can - with assistance where necessary. Maintenance and home care could be expensive too, and eat into their estate.

My grand mother is burning through $200k a year in carer costs at home and that is not including housing or food costs. I also think the standard of care, especially in an emergency situation, would be better in a retirement home. I also think she would have had a more enjoyable time, but sadly the lack of activity (mental or physical) has probably resulted in her deteriatoring quicker than if she had moved. Her money, her choose but I think it would have been better spent in a RYM etc.

[Beagle]

No not at all - this 26% is all priced into current share price.

Yes, with only 6% first half growth in underlying earnings if second half earnings don't grow by the mid 20% mark we could see a bad blot on RYM's perfect copy book of year on year underlying profit growth of 15%. I wonder how the market would react to the market darling, arguably still priced for perfection, not achieving perfection ?

My grand mother is burning through $200k a year in carer costs at home and that is not including housing or food costs. I also think the standard of care, especially in an emergency situation, would be better in a retirement home. I also think she would have had a more enjoyable time, but sadly the lack of activity (mental or physical) has probably resulted in her deteriatoring quicker than if she had moved. Her money, her choose but I think it would have been better spent in a RYM etc.

OUCH, that is a MASSIVE cash burn

[Bjauck]

My grand mother is burning through $200k a year in carer costs at home and that is not including housing or food costs. I also think the standard of care, especially in an emergency situation, would be better in a retirement home. I also think she would have had a more enjoyable time, but sadly the lack of activity (mental or physical) has probably resulted in her deteriatoring quicker than if she had moved. Her money, her choose but I think it would have been better spent in a RYM etc.

I think, if my parents were at the stage of requiring toileting and 24 hour carer-attention at home, they would be seriously considering a good RYM or SUM rest home. It is just that they prefer their existing property, with low-level help when needed, to a licence-to-occupy unit/villa in a village.

[Harvey Specter]

I think, if my parents were at the stage of requiring toileting and 24 hour carer-attention at home, they would be seriously considering a good RYM or SUM rest home. It is just that they prefer their existing property, with low-level help when needed, to a licence-to-occupy unit/villa in a village.

They want to live in their own home. The old can be stubborn and dont see the benefits. They now have 24 hour care. If we need to go to two, then we will force the issue.

[Bjauck]

They want to live in their own home. The old can be stubborn and dont see the benefits. They now have 24 hour care. If we need to go to two, then we will force the issue.

It must be psychological barrier to overcome to admit to yourself that you can no longer safely stay in your own home. From my experience with a relative, someone who needs two-person assistance would be more likely to be assessed as needing hospital-level care as opposed to rest-home level.