A strategic plan for the group will see it grow substantially over the next number of years, from the current 300 beds to 1,000 beds, said Finn, who five months ago took up the chief executive’s role.
Brookhaven has almost completed a multimillion-euro refurbishment programme of its five existing homes, in Dublin, Laois, Kilkenny, Mayo and Galway. The group has spent €1m on upgrading each of the homes.
Some of the Brookhaven homes had faced compliance issues in the past as regulations in the sector grew more stringent and Finn said the investment programme was essential.
‘The nursing home sector changed dramatically when interest rates went up in 2022’
“The initial challenge for me coming in was to bring existing homes up to standard. There had been shortcomings, but we have a very good team here – and over my first six months we worked very closely with each of the homes and also with the regulators.
“I’m very happy we’ve reached a point where all the homes are now in good standing.”
Finn said he felt the increased regulations in the sector were “essential” and a “very positive thing”.
“Every health system needs to be heavily regulated, because obviously it involves human lives. So I fully support the regulation. And I think our regulator, for the most part, is a very fair regulator.”
Finn, a former A&E nurse, has over 25 years of executive-level experience in the healthcare sector in Ireland, UK, Europe, and the US, including as the HSE’s national director of acute services.
Most recently he headed up care-home provider Silverstream, and during his tenure grew its bed numbers substantially – going from five homes to 12. He is now planning a similar expansion at Brookhaven.
The nursing home sector in Ireland is currently going through big changes. Major overseas funding has dried up in recent years, and a large number of smaller and older homes have been forced to close, as they were unable to meet the new regulatory standards.
‘The need for new nursing homes and for specialised beds is ever-increasing’
Between 2018 and 2020 in particular, there was significant investment from overseas investors and property companies in the Irish nursing home sector.
“A lot of new buildings were built and a lot of new foreign direct investment came into the country. But obviously the maths around that changed dramatically when interest rates went up in 2022.
“I don’t think there was a site sold in the country in 2022 for a nursing home and it was very slow in 2023.
“It’s the same at the moment, there are very few transactions. But rates are coming down, and that interest is coming back again. It’s probably not at the same multiples as before, but movement is starting and there are a few transactions.”
He said Brookhaven is unlikely to build new homes and is instead looking to acquire homes that it can refurbish. It wil also extend existing homes in order to reach its expansionary targets.
‘From getting planning to the time you open the doors, it’s a minimum of three years’
“The demographics haven’t changed. The need for new nursing homes and for long- and short-term specialised beds is ever-increasing.
“New homes have opened or are close to opening, including the ones built at Silverstream. But they were all started before the big change in the industry and in the economy, funding-wise.
“With other homes closing because they can’t reach the standards, the problem is that from the time you sit down to get planning to the time you open the doors, it’s a minimum of three years, if not a lot more, depending on objections.”
But Finn said that changes in the Fair Deal scheme – the Government’s subsidy payment – had been a positive for the sector.
“The scheme still needs to be reformed and is not really fit for purpose. Up until a year ago there was a huge disparity between fees paid in Dublin, Meath and Kildare and the rest of the country.
“But since then rates have been dramatically improved around the country, and are more aligned with the higher rates in Dublin. That has been a big help.”
