Ventas often talks about certificate of need or CON – what is that?
Some states have certificate of need (CON) laws that require state approval for development and expansion of healthcare facilities and services, including findings of the need for additional or expanded healthcare facilities or services. A CON, which is issued by governmental agencies with jurisdiction over healthcare facilities, is at times required for expansion of existing facilities, construction of new facilities, additions of beds, acquisition of major items, equipment or introduction of new services. Approximately 22 percent of Ventas’s revenues come from states that have CON requirements, which limits the supply of new facilities that can be built, thus reducing the risk of owning facilities in those states.
