Fitch Ratings – New York – 26 Mar 2021: Deerfield continues to demonstrate strong, consistent balance sheet and profitability metrics that are sufficient or strong relative to its current ‘A’ rating level. The community’s desirable location and attractive pricing result in robust demand from prospective residents both within and outside the State of North Carolina, where nearly one-third of current residents originate from outside the state. Occupancy for the independent living units (ILUs) continue to trend near 100% each fiscal year and account for roughly 75% of Deerfield’s total units.
The pandemic created minimal operating disruptions at Deerfield. High demand for Deerfield’s services has resulted in strong historical independent living occupancy and net entrance fee cash flow. This trend has persisted even throughout the pandemic, and Fitch expects this to continue. The community’s desirable location in Asheville, NC is a major draw for in- and out-of-state residents.