dealflow
envelope $200M

← Targets

Cornerstone Specialty Austin

dba Cornerstone Specialty Hospitals Round Rock · Austin, Travis County, TX · CCN 452034
Licensed to Chg Hospital Austin, Llc

Composite
71.1
rank score
Distress
86
FY2024
Fit
81
vs thesis
Estimated ticket
$30.4M–$122M
145 beds · within envelope
Ownership
for-profit
LTCH

Why it ranks here

  • operating margin below -10%
  • total margin -8% to -3%
  • under 30 days cash on hand
  • current liabilities exceed current assets
  • debt above 85% of assets
  • occupancy 30-45%
  • margin deteriorating sharply
  • TX: favorable regulatory climate
  • urban — higher occupancy and iteration surface
  • LTCH — distress here is a payment-model artifact
  • bed count in the target band
  • ticket size somewhat below the envelope
  • thin occupancy
  • for-profit — no charitable conversion review

Latest financials · FY2024

Net patient revenue$43.0M
Operating margin -14.9%
Total margin -6.2%
Days cash on hand 0
Current ratio 0.96
Occupancy40%

Facility

Beds145
Facility typeLTCH
Settingurban
Ownership classfor-profit
Per-bed (low) $210K
Per-bed (high) $840K

Financial history

FYBedsNet patient rev Net incomeOp margin Total marginDays cash Current ratioOccupancy DischargesDistress
2021 133 $44.7M $7.8M 17.5% 17.6% 0 -0.33 50% 856 38
2022 145 $55.8M $7.3M 11.7% 12.9% 0 -0.27 49% 898 38
2023 145 $54.5M $6.9M 11.7% 12.5% 0 1.66 48% 870 24
2024 145 $43.0M $-2.9M -14.9% -6.2% 0 0.96 40% 661 86

Owners

OwnerRole%SinceType
Chg Hospital Operations Company Llc
Dallas, TX
5% or greater direct ownership interest 100 2015-02
Cornerstone Healthcare Group Holding Inc
Dallas, TX
5% or greater indirect ownership interest 100 2015-02
Kentucky Hospital Holdings Jv Lp
Louisville, KY
5% or greater indirect ownership interest 100 2023-01
Kentucky Hospital Holdings Llc
Louisville, KY
5% or greater indirect ownership interest 100 2023-01
Kentucky Hospital Intermediate Llc
Louisville, KY
5% or greater indirect ownership interest 100 2023-01
Kindred Healthcare Llc
Louisville, KY
5% or greater indirect ownership interest 100 2023-01
Kindred Healthcare Operating Llc
Louisville, KY
5% or greater indirect ownership interest 100 2023-01
Knight Health Holdings Llc
Louisville, KY
5% or greater indirect ownership interest 100 2023-01
Knight Health Llc
Louisville, KY
5% or greater indirect ownership interest 100 2023-01
Dana Rock corporate officer 2024-12
David Pohl corporate director 2015-02
Deanna Schiavone corporate officer 2023-01
Johnetta Traylor corporate officer 2024-12
Johnetta Traylor w-2 managing employee 2025-03
Michael Bean corporate officer 2023-01
Scott Graeser corporate officer 2023-01

Ownership changes

No CMS ownership change on record since 2016 — this hospital has not traded in at least a decade.

Who has been buying in TX

Completed CMS ownership changes in this state. These buyers already cleared the licensure process here — and whoever advised them knows this market.

DateBuyerSellerHospitalBeds
2026-01-01 Houston-Amg Specialty Hospital, Inc. Plaza Specialty Hospital, Llc Houston Healthcare Specialty Hosp. 44
2026-01-01 Clear Lake-Amg Specialty Hospital, Inc. Chg Hospital Houston Llc Vibra Hospital Of Clear Lake 88
2024-08-01 Hhn Tx1 Llc Kpc Promise Hospital Of Wichita Falls Llc Kpc Promise Hospital Of Wichita Fall 31
2024-05-19 Amarillo Specialty Hospital Kpc Promise Hospital Of Amarillo Llc Kpc Promise Hospital Of Amarillo Llc 54
2019-09-30 Pam Specialty Hospital Of San Antonio Llc New San Antonio Specialty Hospital, Llc Pam Spc Hosp Of San Antonio Med Ctr 62
2019-09-30 Lifecare 2.1, Llc New Lifecare Hospitals Of North Texas, Llc Lifecare Spec Hosp Of North Texas 206
2016-06-28 Knd Development 68 Llc Select Specialty Hospital - San Antonio Inc Kindred Hospital San Antonio Central 44