Blake Management Group expects steady growth in senior living as the first wave of baby boomers reaches 80, a demographic shift that could reshape demand in the coming years. The Mississippi-based firm, which oversees eight communities across the Southeast, aims to collaborate with major ownership firms such as Ventas, CVI, and LCP while keeping its focus on operational excellence. This approach has defined the company since its 2007 launch, when it adopted a third-party management model that handles daily operations for property owners without taking direct ownership stakes.
Chief Operating Officer Scott Hames emphasizes that this structure gives the company an edge, especially for smaller operators competing against larger industry players. “We know where our strengths are, and we focus on those,” Hames said. The model allows Blake Management Group to avoid the risks of property ownership while delivering specialized management services.
Staffing shortages remain the sector’s most persistent issue, a problem exacerbated by the COVID-19 pandemic. The company responded by increasing wages for nursing roles by $2 to $4 per hour in some cases. Hames noted that higher pay alone did not solve the challenge. To address this, Blake Management Group reduced overtime, minimized reliance on temporary agency staff, and restructured leadership positions to improve retention rates.
These adjustments have improved financial performance. Today, the company’s communities maintain margins at or above 30%, with some exceeding 40%. The gains stem from tighter cost controls, including fewer agency nurses and not utilizing nurses to pass medications in certain states, as well as a flexible staffing approach that fills gaps without excessive compensation. Unlike competitors that depend on high-volume referral networks like Caring.com, Blake Management Group focuses on leads generated by its own sales teams, which yield higher conversion rates and avoid the inefficiencies of chasing volume.
Hames argues that occupancy rates do not fully capture a community’s financial health. “Show me their margins, and I’ll tell you whether it’s a healthy community,” he said. The company now tracks lost revenue days and other financial metrics more closely than occupancy percentages, shifting responsibility to executive directors who now oversee their communities’ financial performance.
