Retirement Communities Hit by Wage and Debt Squeeze

Continuing care retirement communities are filing for bankruptcy as two costs collide: healthcare worker wages have jumped sharply, and rising interest rates have nearly doubled debt payments. Operators with thin margins can't absorb both hits. Harborside in Port Washington, New York filed in April 2023. For residents who paid upfront entrance fees and expected refunds, bankruptcy is bad news—refund claims rank below secured creditors, jeopardizing life savings.