What Nashville, Tenn., is to for-profit hospital chains, Louisville, Ky., is becoming for nursing home and extended care chains, reported Kaiser Health News/Washington Post. The sector employs 4,000 in the city and generates $28 billion in total revenue, Louisville Mayor Greg Fischer wrote in a American City & County commentary.
At least seven national firms that specialize in skilled nursing are based in the city of 570,000 people, including Kindred Healthcare, Atria Senior Living Group and Trilogy Health Services, according to Kaiser Health News. The article speculated that the spinoffs of home-grown healthcare company Humana led to the growth of the nursing home industry.
Kindred has been particularly strong, reporting in the first quarter that revenue jumped 33 percent, and that earnings per share excluding one-time charges exceeded analysts' expectations, the Associated Press reported.
Meanwhile, Louisville also has been aggressive in luring new companies to the city. It offered $4 million in corporate tax credits to convince Signature Health Care to relocate from South Florida, according to Kaiser Health News.