About 14% Of U.S. Psychiatric Hospitals Participating In Medicare Were Owned By Private Equity In 2021

Of the 617 freestanding psychiatric hospitals in the United States that participated in Medicare in 2021, 14% (87 hospitals) were owned by private equity (PE) investors, according to a recent study. The PE-owned psychiatric hospitals had 4,660 beds, representing 6.30% of all psychiatric hospital beds, according to calculations in the study, and 44 were located in three states: Texas (19 hospitals), Louisiana (16 hospitals), and Ohio (9 hospitals). About two-thirds of the PE-owned hospitals were located in the southern region of the United States.

The study stated that, over time, the proportion of psychiatric hospitals . . .