The administrators of Brookdale Senior Residing Inc. have appointed a longtime business govt and veteran of Kindred at House in addition to Dawn Senior Residing, amongst others, to be the corporate’s subsequent CEO.
Nick Stengle will take the helm at Nashville-based Brookdale on Oct. 6, almost six months after the board and former CEO Cindy Baier parted methods. Stengle, 49, involves Brookdale—which on June 30 operated greater than 640 facilities in 41 states—from Gentiva, the place he had been president and COO since August 2022. Atlanta-based Gentiva is the successor to hospice, palliative and private care firm Kindred at House, which was majority-owned by Humana Inc. till mid-2022.
“I’m assured Nick has the strategic acumen, imaginative and prescient, and management expertise to construct on our sturdy momentum at this pivotal level in Brookdale’s historical past,” Denise Warren, a director who has been interim CEO since April, stated in a press release. “His spectacular observe report of driving sturdy operational efficiency whereas constructing a tradition of teamwork, excellence, and accountability uniquely positions him to make sure the corporate thrives.”
Previous to working two stints at Gentiva, Stengle—who began his profession within the hospitality sector—was COO at Dawn Senior Residing, which runs about 250 retirement communities across the nation. He shall be paid an preliminary base wage of $950,000 and obtain a $370,000 sign-on bonus in January. Along with being eligible for 2026 long-term incentives that will be value as much as $4.7 million, he additionally may have the possibility to earn an annual bonus of greater than $1.3 million.
Phrase of his appointment comes a number of days after CFO Daybreak Kussow instructed the Jefferies 2025 Healthcare Providers Convention that the Brookdale workforce is on observe with its push to trim the corporate’s portfolio to about 550 properties by the center of subsequent yr and that the senior dwelling sector’s low provide dynamics are organising the corporate for a very good run within the years forward.
“We’ve been persevering with to develop occupancy at a speedy tempo [and] the flow-through within the enterprise is simply very excessive,” Kussow stated Sept. 30. “I feel we’re on the precipice of creating that flip, having sturdy, sustainable operational development.”
Baier had led the corporate since early 2018, left the corporate as activist funding agency Ortelius Advisors was difficult its board about what it stated was “years of underperformance,” stating that Brookdale’s inventory had misplaced 30 p.c of its worth over the earlier 5 years. The buyers additionally stated the administrators had been “not finest suited to credibly chart the trail ahead” and proposed six board candidates of their very own. However not sufficient Brookdale shareholders backed them on the firm’s annual assembly in mid-July.
Shares of Brookdale (Ticker: BKD) closed Oct. 2 buying and selling at $8.42 after giving up about 1.6 p.c. They’ve, nevertheless, rallied almost 40 p.c over the previous six months, a surge that has grown the corporate’s market capitalization to about $2 billion.
