Brookdale Sr Living Inc Stock Price, News & Analysis

Brookdale Senior Living (NYSE: BKD) urges shareholders to vote the BLUE proxy card "FOR" their eight director nominees ahead of the July 11, 2025 Annual Meeting, amid a proxy contest with Ortelius Advisors. The company reported strong operational progress with June occupancy reaching 81.1% same community weighted average and 82.8% month-end occupancy. Q2 weighted average consolidated occupancy achieved 80.1%, marking a key milestone for cash flow growth.

The Board, which includes four directors appointed since June 2024, is currently conducting a CEO search with Spencer Stuart. Since 2022, Brookdale has restructured leases for ~250 communities and plans to reduce its portfolio to under 600 communities by year-end 2025, down from over 1,000 in 2017. The company warns that electing any of Ortelius' nominees, who own only 1% of shares, could disrupt progress and impair the CEO search process.

Brookdale Senior Living (NYSE: BKD), the nation's leading senior living communities operator, reported strong occupancy growth for June 2025. The company achieved a weighted average consolidated occupancy of 80.5%, marking a significant increase of 230 basis points year-over-year and 50 basis points sequentially.

Month-end consolidated occupancy reached 82.2%, up 70 basis points from the previous month. Same community metrics showed similar improvements, with weighted average occupancy at 81.1% and month-end occupancy at 82.8%. The second quarter's weighted average consolidated occupancy of 80.1% demonstrated continued momentum with a 200 basis point year-over-year increase.

As of June 30, 2025, Brookdale operates 645 communities across 41 states with the capacity to serve approximately 58,000 residents.

Ortelius Advisors has issued a final call to action for Brookdale Senior Living (NYSE: BKD) stockholders, urging them to vote for their six director nominees at the July 11, 2025 Annual Meeting. The activist investor highlights BKD's significant underperformance, including a 37% stock price drop over seven years, 83% decline in tangible book value per share, and negative $660 million in cumulative free cash flow from 2018-2024.

Three independent proxy advisors - ISS, Glass Lewis, and Egan-Jones - have recommended stockholders vote for Ortelius' nominees. The letter criticizes the current Board's performance, citing poor governance practices, questionable director appointments, and reactive CEO succession planning following Cindy Baier's departure. Ortelius proposes a strategic plan focused on portfolio rationalization, platform optimization, and balance sheet improvement.

Egan-Jones Ratings Company, an independent proxy advisory firm, has recommended that Brookdale Senior Living Inc. (NYSE: BKD) stockholders vote FOR all six nominees proposed by Ortelius Advisors, L.P. for the company's Board of Directors at the upcoming 2025 Annual Meeting.

The recommendation highlights Brookdale's significant underperformance, including a -30% Total Shareholder Return (TSR) from 2020 through 2024, despite industry tailwinds. Egan-Jones criticizes Brookdale's current strategy of attempting to grow out of debt, supporting instead Ortelius' plan to sell underperforming assets to reduce debt and improve operating margins.

The proxy advisor specifically endorsed Ortelius' nominees - Steven J. Insoft, Paula J. Poskon, Frank J. Small, Ivona Smith, Steven L. Vick, and Lori B. Wittman - citing their collective expertise in senior housing, REITs, finance, capital markets, and operational turnarounds. Egan-Jones only recommended supporting the two most recent incumbent Board additions, Fioravanti and Hausman, who joined in April 2025.

Brookdale Senior Living (NYSE: BKD) responds to ISS's proxy advisory report regarding the upcoming July 11, 2025 Annual Meeting. While ISS recommends against giving Ortelius control of the Board, they did not support all of Brookdale's eight director nominees. Brookdale strongly disagrees with ISS's failure to recommend directors Lee Wielansky and Victoria Freed, arguing their expertise is crucial. The company criticizes Ortelius' candidates Lori Wittman and Steven Vick, citing concerns about their relevant experience. Brookdale, operating 647 communities across 41 states serving approximately 58,000 residents, emphasizes that removing Wielansky and Freed could impair CEO recruitment and strategy execution. The Board urges shareholders to vote "FOR" all eight Brookdale nominees on the BLUE proxy card to protect shareholder value.

Ortelius Advisors has issued an open letter to Brookdale Senior Living (NYSE: BKD) stockholders, seeking support to elect six independent director candidates at the July 11, 2025 Annual Meeting. The letter criticizes the current Board's performance and strategy, highlighting concerning financial metrics: negative $731M EBITDA-Capex from 2018-2024 in the leased portfolio, $4.1B in net debt (up 21% since 2017), and $2.8B in debt maturing within four years. Ortelius proposes a materially different strategy, including immediate evaluation of monetizing ~135 underperforming owned properties, using proceeds for debt reduction, and eliminating the poorly performing leased portfolio. The activist investor emphasizes the company's poor performance metrics, including negative 37% total stockholder returns and an 83% decline in tangible book value per share, arguing that their nominees, with extensive senior housing expertise, would better serve stockholder interests.

Brookdale Senior Living (NYSE: BKD) filed an investor presentation highlighting its Board's strategy and urging shareholders to vote for its eight nominees at the July 11, 2025 Annual Meeting. The company showcased significant operational improvements, including a 27.2% year-over-year increase in Q1 2025 Adjusted EBITDA and improved occupancy rates reaching 82.1% by May 2025. The Board has implemented strategic initiatives focusing on operating performance, real estate portfolio optimization, capital reinvestment, leverage reduction, and quality care. Since 2022, Brookdale renegotiated leases for about 250 communities and reduced leased units by 19%. The company expects positive Adjusted Free Cash Flow of $30-50 million in 2025. The presentation emphasizes the Board's refreshed composition, with six independent directors and the Chairman appointed in the last seven years, opposing Ortelius' attempt to gain control.

Brookdale Senior Living (NYSE: BKD) reported strong occupancy growth for May 2025, achieving a significant milestone with consolidated weighted average occupancy reaching 80.0%. This represents a 190 basis points increase year-over-year and 20 basis points sequential growth. The company's same community weighted average occupancy rose to 80.6%, while month-end occupancy grew to 82.1%, marking the highest sequential increase in nine months. Second quarter-to-date consolidated weighted average occupancy stands at 79.9%, showing a 60 basis point increase from Q1. Brookdale operates 647 senior living communities across 41 states, serving approximately 58,000 residents, offering independent living, assisted living, memory care, and continuing care retirement services.

Brookdale Senior Living (NYSE: BKD) is urging shareholders to vote "FOR" its eight director nominees at the upcoming July 11, 2025 Annual Meeting, opposing Ortelius Advisors' attempt to replace six board members. The company highlights its refreshed Board with four new directors added in the past year, bringing expertise in real estate, healthcare, operations, and senior housing. Brookdale emphasizes recent positive performance metrics including: positive Adjusted Free Cash Flow, 80% same community occupancy, 4.9% YoY growth in RevPAR, and 90 bps expansion in operating margin. The company argues that Ortelius' nominees lack relevant experience and that their proposed changes could disrupt ongoing progress, particularly during the CEO search process.