Sonida Senior Living (SNDA) 10-Q 3 Aug 16 2016 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
	Jun. 30, 2016	Jul. 29, 2016
Document And Entity Information [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Jun. 30, 2016
Document Fiscal Year Focus	2,016
Document Fiscal Period Focus	Q2
Trading Symbol	CSU
Entity Registrant Name	CAPITAL SENIOR LIVING CORP
Entity Central Index Key	1,043,000
Current Fiscal Year End Date	--12-31
Entity Filer Category	Accelerated Filer
Entity Common Stock, Shares Outstanding		29,998,289

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($) $ in Thousands	Jun. 30, 2016	Dec. 31, 2015
Current assets:
Cash and cash equivalents	$ 44,486	$ 56,087
Restricted cash	13,167	13,159
Accounts receivable, net	10,427	9,254
Federal and state income taxes receivable	95
Property tax and insurance deposits	11,472	14,398
Prepaid expenses and other	5,386	4,370
Total current assets	85,033	97,268
Property and equipment, net	958,123	890,572
Other assets, net	28,737	31,193
Total assets	1,071,893	1,019,033
Current liabilities:
Accounts payable	1,148	3,362
Accrued expenses	32,559	34,300
Current portion of notes payable, net of deferred loan costs	17,082	13,634
Current portion of deferred income and resident revenue	15,794	16,059
Current portion of capital lease and financing obligations	1,214	1,257
Federal and state income taxes payable		111
Customer deposits	1,698	1,819
Total current liabilities	69,495	70,542
Deferred income	13,165	13,992
Capital lease and financing obligations, net of current portion	38,295	38,835
Other long-term liabilities	10,372	4,969
Notes payable, net of deferred loan costs and current portion	812,704	754,949
Commitments and contingencies
Shareholders' equity:
Preferred stock, $.01 par value: Authorized shares - 15,000; no shares issued or outstanding
Common stock, $.01 par value: Authorized shares - 65,000; issued and outstanding shares - 29,998 and 29,539 in 2016 and 2015, respectively	305	299
Additional paid-in capital	164,956	159,920
Retained deficit	(33,969)	(23,539)
Treasury stock, at cost - 494 and 350 shares in 2016 and 2015, respectively	(3,430)	(934)
Total shareholders' equity	127,862	135,746
Total liabilities and shareholders' equity	$ 1,071,893	$ 1,019,033

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) - $ / shares	Jun. 30, 2016	Dec. 31, 2015
Statement of Financial Position [Abstract]
Preferred stock, par value	$ 0.01	$ 0.01
Preferred stock, shares authorized	15,000,000	15,000,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Common stock, par value	$ 0.01	$ 0.01
Common stock, shares authorized	65,000,000	65,000,000
Common stock, shares issued	29,998,000	29,539,000
Common stock, shares outstanding	29,998,000	29,539,000
Treasury stock, shares	494,000	350,000

Consolidated Statements of Oper

Consolidated Statements of Operations and Comprehensive Loss - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015
Revenues:
Resident revenue	$ 111,034	$ 101,588	$ 220,207	$ 200,228
Expenses:
Operating expenses (exclusive of facility lease expense and depreciation and amortization expense shown below)	67,162	60,707	133,685	120,838
General and administrative expenses	4,972	5,718	11,220	10,731
Facility lease expense	15,445	15,298	30,650	30,554
Stock-based compensation expense	2,490	2,717	5,003	4,444
Depreciation and amortization expense	15,172	13,468	29,703	26,263
Total expenses	105,241	97,908	210,261	192,830
Income from operations	5,793	3,680	9,946	7,398
Other income (expense):
Interest income	19	11	35	24
Interest expense	(10,345)	(8,673)	(20,330)	(17,028)
Write-off of deferred loan costs and prepayment premiums				(871)
Loss on disposition of assets, net	(6)	(65)	(37)	(171)
Other income	233		233	1
Loss before provision for income taxes	(4,306)	(5,047)	(10,153)	(10,647)
Provision for income taxes	(140)	(119)	(277)	(558)
Net loss	$ (4,446)	$ (5,166)	$ (10,430)	$ (11,205)
Per share data:
Basic net loss per share	$ (0.15)	$ (0.18)	$ (0.36)	$ (0.38)
Diluted net loss per share	$ (0.15)	$ (0.18)	$ (0.36)	$ (0.38)
Weighted average shares outstanding - basic	28,926	28,705	28,838	28,636
Weighted average shares outstanding - diluted	28,926	28,705	28,838	28,636
Comprehensive loss	$ (4,446)	$ (5,166)	$ (10,430)	$ (11,205)

Consolidated Statements of Cash

Consolidated Statements of Cash Flows - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015
Operating Activities
Net loss	$ (10,430)	$ (11,205)
Adjustments to reconcile net loss to net cash provided by operating activities:
Depreciation and amortization	29,703	26,263
Amortization of deferred financing charges	567	582
Amortization of deferred lease costs and lease intangibles	(184)	651
Deferred income	44	(131)
Lease incentives	3,890
Write-off of deferred loan costs and prepayment premiums		871
Loss on disposition of assets, net	37	171
Provision for bad debts	809	544
Stock-based compensation expense	5,003	4,444
Changes in operating assets and liabilities:
Accounts receivable	(94)	(2,090)
Accounts receivable from affiliates		2
Property tax and insurance deposits	2,926	1,500
Prepaid expenses and other	(1,016)	1,379
Other assets	(566)	208
Accounts payable	(2,214)	(492)
Accrued expenses	(1,704)	(2,220)
Federal and state income taxes receivable/payable	(206)	(529)
Deferred resident revenue	(1,136)	(1,581)
Customer deposits	(121)	(48)
Net cash provided by operating activities	25,308	18,319
Investing Activities
Capital expenditures	(29,747)	(13,540)
Cash paid for acquisitions	(64,750)	(74,710)
Proceeds from disposition of assets		35,807
Net cash used in investing activities	(94,497)	(52,443)
Financing Activities
Proceeds from notes payable	69,892	102,332
Repayments of notes payable	(8,183)	(66,315)
Increase in restricted cash	(8)	(10)
Cash payments for capital lease and financing obligations	(583)	(433)
Cash proceeds from the issuance of common stock	66	42
Excess tax benefits on stock options exercised	(27)	49
Purchases of treasury stock	(2,496)
Deferred financing charges paid	(1,073)	(1,347)
Net cash provided by financing activities	57,588	34,318
(Decrease) Increase in cash and cash equivalents	(11,601)	194
Cash and cash equivalents at beginning of period	56,087	39,209
Cash and cash equivalents at end of period	44,486	39,403
Cash paid during the period for:
Interest	19,627	16,112
Income taxes	$ 546	$ 1,020

Basis of Presentation

Basis of Presentation	6 Months Ended
	Jun. 30, 2016
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Basis of Presentation	1. BASIS OF PRESENTATION Capital Senior Living Corporation, a Delaware corporation (together with its subsidiaries, the “Company”), is one of the largest operators of senior living communities in the United States in terms of resident capacity. The Company owns, operates and manages senior living communities in geographically concentrated regions throughout the United States. As of June 30, 2016, the Company operated 126 senior living communities in 23 states with an aggregate capacity of approximately 15,800 residents, including 76 senior living communities that the Company owned and 50 senior living communities that the Company leased. The accompanying consolidated financial statements include the financial statements of Capital Senior Living Corporation and its wholly owned subsidiaries. All material intercompany balances and transactions have been eliminated in consolidation. The accompanying Consolidated Balance Sheet, as of December 31, 2015, has been derived from audited consolidated financial statements of the Company for the year ended December 31, 2015, and the accompanying unaudited consolidated financial statements, as of and for the three and six month periods ended June 30, 2016 and 2015, have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission. Certain information and note disclosures normally included in the annual financial statements prepared in accordance with accounting principles generally accepted in the United States have not been included pursuant to those rules and regulations. For further information, refer to the financial statements and notes thereto for the year ended December 31, 2015, included in the Company’s Annual Report on Form 10-K filed with the Securities and Exchange Commission on February 26, 2016. In the opinion of the Company, the accompanying consolidated financial statements contain all adjustments (all of which were normal recurring accruals) necessary to present fairly the Company’s financial position as of June 30, 2016, results of operations for the three and six month periods ended June 30, 2016 and 2015, and cash flows for the six month periods ended June 30, 2016 and 2015. The results of operations for the three and six month periods ended June 30, 2016, are not necessarily indicative of the results for the year ending December 31, 2016.

Summary of Significant Accounti

Summary of Significant Accounting Policies	6 Months Ended
	Jun. 30, 2016
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Lease Accounting The Company determines whether to account for its leases as operating, capital or financing leases depending on the underlying terms of each lease agreement. This determination of classification is complex and requires significant judgment relating to certain information including the estimated fair value and remaining economic life of the community, the Company’s cost of funds, minimum lease payments and other lease terms. As of June 30, 2016, the Company leased 50 senior living communities, 48 of which the Company classified as operating leases and two of which the Company classified as capital lease and financing obligations. The Company incurs lease acquisition costs and amortizes these costs over the term of the respective lease agreement. Certain leases entered into by the Company qualified as sale/leaseback transactions, and as such, any related gains have been deferred and are being amortized over the respective lease term. Facility lease expense in the Company’s Consolidated Statements of Operations and Comprehensive Loss includes rent expense plus amortization expense relating to leasehold acquisition costs slightly offset by the amortization of deferred gains and lease incentives. There are various financial covenants and other restrictions in the Company’s lease agreements. The Company was in compliance with all of its lease covenants at June 30, 2016. Credit Risk and Allowance for Doubtful Accounts The Company’s resident receivables are generally due within 30 days from the date billed. Accounts receivable are reported net of an allowance for doubtful accounts of $3.7 million and $3.2 million at June 30, 2016, and December 31, 2015, respectively, and represent the Company’s estimate of the amount that ultimately will be collected. The adequacy of the Company’s allowance for doubtful accounts is reviewed on an ongoing basis, using historical payment trends, write-off experience, analyses of receivable portfolios by payor source and aging of receivables, as well as a review of specific accounts, and adjustments are made to the allowance as necessary. Credit losses on resident receivables have historically been within management’s estimates, and management believes that the allowance for doubtful accounts adequately provides for expected losses. Employee Health and Dental Benefits, Workers’ Compensation, and Insurance Reserves The Company offers certain full-time employees an option to participate in its health and dental plans. The Company is self-insured up to certain limits and is insured if claims in excess of these limits are incurred. The cost of employee health and dental benefits, net of employee contributions, is shared between the corporate office and the senior living communities based on the respective number of plan participants. Funds collected are used to pay the actual program costs including estimated annual claims, third-party administrative fees, network provider fees, communication costs, and other related administrative costs incurred by the plans. Claims are paid as they are submitted to the Company’s third-party administrator. The Company records a liability for outstanding claims and claims that have been incurred but not yet reported. This liability is based on the historical claim reporting lag and payment trends of health insurance claims. Management believes that the liability for outstanding losses and expenses is adequate to cover the ultimate cost of losses and expenses incurred at June 30, 2016; however, actual claims and expenses may differ. Any subsequent changes in estimates are recorded in the period in which they are determined. The Company uses a combination of insurance and self-insurance for workers’ compensation. Determining the reserve for workers’ compensation losses and costs that the Company has incurred as of the end of a reporting period involves significant judgments based on projected future events including potential settlements for pending claims, known incidents which may result in claims, estimates of incurred but not yet reported claims, changes in insurance premiums, estimated litigation costs and other factors. The Company regularly adjusts these estimates to reflect changes in the foregoing factors. However, since this reserve is based on estimates, the actual expenses incurred may differ from the amounts reserved. Any subsequent changes in estimates are recorded in the period in which they are determined. Income Taxes Income taxes are computed using the asset and liability method and current income taxes are recorded based on amounts refundable or payable in the current year. The effective tax rates for the three and six months ended June 30, 2016 and 2015 differ from the statutory tax rates due to state income taxes, permanent tax differences, and changes in the deferred tax asset valuation allowance. The Company is impacted by the Texas Margin Tax (“TMT”), which effectively imposes tax on modified gross revenues for communities within the State of Texas. During each of the second quarters of fiscal 2016 and 2015, the Company consolidated 37 Texas communities and the TMT increased the overall provision for income taxes. Deferred income taxes are recorded based on the estimated future tax effects of loss carryforwards and temporary differences between financial statement carrying amounts of existing assets and liabilities and their respective tax basis. Deferred tax assets and liabilities are measured using enacted tax rates that are expected to apply to taxable income in the years in which we expect those carryforwards and temporary differences to be recovered or settled. Management regularly evaluates the future realization of deferred tax assets and provides a valuation allowance, if considered necessary, based on such evaluation. As part of the evaluation, management has evaluated taxable income in carryback years, future reversals of taxable temporary differences, feasible tax planning strategies, and future expectations of income. Based upon this analysis, adjustments to the valuation allowance of $1.5 million and $1.9 million were recorded during the second quarters of fiscal 2016 and 2015, respectively, to increase the valuation allowance provided to $25.7 million and $21.6 million at June 30, 2016 and 2015, respectively. Cumulative adjustments to the valuation allowance for the first six months of fiscal 2016 and 2015 were $3.4 million and $4.4 million, respectively. These adjustments to the valuation allowance were provided to reduce the Company’s net deferred tax assets to the amount that is more likely than not to be realized. However, in the event that we were to determine that it would be more likely than not that the Company would realize the benefit of deferred tax assets in the future in excess of their net recorded amounts, adjustments to deferred tax assets would increase net income in the period such determination was made. The benefits of the net deferred tax assets might not be realized if actual results differ from expectations. The Company evaluates uncertain tax positions through consideration of accounting and reporting guidance on criteria, measurement, derecognition, classification, interest and penalties, accounting in interim periods, disclosure, and transition that is intended to provide better financial statement comparability among different companies. The Company is required to recognize a tax benefit in its financial statements for an uncertain tax position only if management’s assessment is that such position is “more likely than not” (i.e., a greater than 50% likelihood) to be upheld on audit based only on the technical merits of the tax position. The Company’s policy is to recognize interest related to unrecognized tax benefits as interest expense and penalties as income tax expense. The Company is generally no longer subject to federal and state income tax audits for tax years prior to 2012. Net Loss Per Share Basic net loss per common share is computed by dividing net loss by the weighted average number of common shares outstanding for the period. Potentially dilutive securities consist of unvested restricted shares and shares that could be issued under outstanding stock options. Potentially dilutive securities are excluded from the computation of net loss per common share if their effect is antidilutive. The following table sets forth the computation of basic and diluted net loss per share (in thousands, except for per share amounts): Three Months Ended June 30, Six Months Ended June 30, 2016 2015 2016 2015 Net loss $ (4,446 ) $ (5,166 ) $ (10,430 ) $ (11,205 ) Net loss allocated to unvested restricted shares — (139 ) — (307 ) Undistributed net loss allocated to common shares $ (4,446 ) $ (5,027 ) $ (10,430 ) $ (10,898 ) Weighted average shares outstanding – basic 28,926 28,705 28,838 28,636 Effects of dilutive securities: Employee equity compensation plans — — — — Weighted average shares outstanding – diluted 28,926 28,705 28,838 28,636 Basic net loss per share – common shareholders $ (0.15 ) $ (0.18 ) $ (0.36 ) $ (0.38 ) Diluted net loss per share – common shareholders $ (0.15 ) $ (0.18 ) $ (0.36 ) $ (0.38 ) Awards of unvested restricted stock representing approximately 1,052,000 and 783,000 shares were outstanding for the three months ended June 30, 2016 and 2015, respectively, and awards of unvested restricted stock representing approximately 1,043,000 and 792,000 shares were outstanding for the six months ended June 30, 2016 and 2015, respectively, and were antidilutive. During fiscal 2015, the unvested restricted stock did not meet all of the requirements to be deemed participating securities. Therefore, for current and future reporting periods, (losses) earnings per share will be calculated under the treasury method and the two-class method will no longer be utilized by the Company. Treasury Stock The Company accounts for treasury stock under the cost method and includes treasury stock as a component of stockholders’ equity. During the first six months of fiscal 2016, the Company repurchased 144,315 shares of its common stock in open market transactions. Recently Issued Accounting Guidance In March 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2016-09, Improvements to Employee Share-based Payment Accounting. ASU 2016-09 simplifies several aspects of the accounting for share-based payment transactions, including the income tax consequences, classification of awards as either equity or liabilities, and classification on the statement of cash flows. The amendments in ASU 2016-09 are effective for annual periods beginning after December 15, 2016, and interim periods within those annual periods. Early application is permitted. The Company is currently evaluating the impact the adoption of ASU 2016-09 will have on the Company’s consolidated financial statements and disclosures. In February 2016, the FASB issued ASU 2016-02, Leases. ASU 2016-02 amends the existing accounting standards for lease accounting, including requiring lessees to recognize most leases on their balance sheets and making targeted changes to lessor accounting. ASU 2016-02 will be effective beginning in 2019. Early adoption of ASU 2016-02 as of its issuance is permitted. The new leases standard requires a modified retrospective transition approach for all leases existing at, or entered into after, the date of initial application, with an option to use certain transition relief. We are currently evaluating the impact of adopting the new leases standard on our consolidated financial statements. In September 2015, the FASB issued ASU 2015-16, Business Combinations – Simplifying the Accounting for Measurement-Period Adjustments. ASU 2015-16 eliminates the requirement for an acquirer in a business combination to account for the measurement-period adjustment retrospectively. Instead, acquirers must recognize measurement-period adjustments during the period in which they determine the amounts, including the effect on earnings of any amounts they would have recorded in previous periods if the accounting had been completed at the acquisition date. ASU 2015-16 is applied prospectively and is effective for fiscal years beginning after December 15, 2015, and interim periods within those fiscal years. Early application is permitted. The Company adopted the provisions of ASU 2015-16 on January 1, 2016, and incorporated the provisions of this update to its consolidated financial statements upon adoption. During the first quarter of fiscal 2016, final valuation adjustments resulted in the Company reclassifying approximately $1.3 million from other assets to property and equipment to reflect final purchase price allocations. As a result of adoption of ASU 2015-16, prior periods were not adjusted and recast to reflect this reclassification within the Company’s Consolidated Balance Sheets. In August 2014, the FASB issued ASU 2014-15, Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern. This ASU requires management to perform interim and annual assessments of an entity’s ability to continue as a going concern within one year of the date the financial statements are issued and to provide certain disclosures if conditions or events raise substantial doubt about the entity’s ability to continue as a going concern. ASU 2014-15 is effective for annual reporting periods ending after December 15, 2016 and subsequent interim reporting periods. Management does not expect the adoption of ASU 2014-15 to have a material impact on the company’s financial position, results of operations or cash flows. In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers. ASU 2014-09 affects any entity that either enters into contracts with customers to transfer goods or services or enters into contracts for the transfer of nonfinancial assets. Under ASU 2014-09, an entity will recognize revenue when it transfers promised goods or services to customers in an amount that reflects what it expects in exchange for the goods or services. ASU 2014-09 is effective for annual periods beginning after December 15, 2017. The Company is currently evaluating the impact the adoption of ASU 2014-09 will have on the Company’s consolidated financial statements and disclosures.

Acquisitions

Acquisitions	6 Months Ended
	Jun. 30, 2016
Business Combinations [Abstract]
Acquisitions	3. ACQUISITIONS Fiscal 2016 Effective February 16, 2016, the Company closed the acquisition of two senior living communities located in Pensacola, Florida, for $48.0 million (the “Pensacola Transaction”). The two communities consist of 179 assisted living units. The Company incurred approximately $0.3 million in transaction costs related to this acquisition which have been included in general and administrative expenses within the Company’s Consolidated Statements of Operations and Comprehensive Loss. The Company obtained financing from Protective Life Insurance Company (“Protective Life”) for $35.0 million of the acquisition price at a fixed interest rate of 4.38% with a 10-year term with the balance of the acquisition price paid from the Company’s existing cash resources. Effective January 26, 2016, the Company closed the acquisition of three senior living communities located in Colby, Park Falls, and Wisconsin Rapids, Wisconsin, for approximately $16.8 million (the “Pine Ridge Transaction”). The three communities consist of 138 assisted living units. The Company incurred approximately $0.1 million in transaction costs related to this acquisition which have been included in general and administrative expenses within the Company’s Consolidated Statements of Operations and Comprehensive Loss. The Company obtained financing from Protective Life for $11.3 million of the acquisition price at a fixed interest rate of 4.50% with a 10-year term with the balance of the acquisition price paid from the Company’s existing cash resources. As a result of these acquisitions, the Company recorded additions to property and equipment of approximately $59.4 million and other assets of approximately $5.4 million, primarily consisting of in-place lease intangibles, within the Company’s Consolidated Balance Sheets which will be depreciated or amortized over the estimated useful lives. The purchase accounting for the Pensacola Transaction is preliminary as it is subject to final valuation adjustments. Fiscal 2015 Effective October 30, 2015, the Company closed the acquisition of one senior living community located in Virginia Beach, Virginia, for $38.0 million (the “Virginia Beach Transaction”). The community consists of 111 assisted living units. The Company incurred approximately $0.1 million in transaction costs related to this acquisition which have been included in general and administrative expenses within the Company’s Consolidated Statements of Operations and Comprehensive Loss. The Company obtained financing from Protective Life for $28.0 million of the acquisition price at a fixed interest rate of 4.25% with a 10-year term with the balance of the acquisition price paid from the Company’s existing cash resources. Effective September 30, 2015, the Company closed the acquisition of one senior living community located in Mahomet, Illinois, for $15.5 million (the “Mahomet Transaction”). The community consists of 78 assisted living units. The Company incurred approximately $0.1 million in transaction costs related to this acquisition which have been included in general and administrative expenses within the Company’s Consolidated Statements of Operations and Comprehensive Loss. The Company obtained financing from Fannie Mae for approximately $11.1 million of the acquisition price at a fixed interest rate of 4.69% with a 10-year term with the balance of the acquisition price paid from the Company’s existing cash resources. Effective August 11, 2015, the Company closed the acquisition of one senior living community located in Indianapolis, Indiana, for $21.0 million (the “Indianapolis Transaction”). The community consists of 124 assisted living units. The Company incurred approximately $0.1 million in transaction costs related to this acquisition which have been included in general and administrative expenses within the Company’s Consolidated Statements of Operations and Comprehensive Loss. The Company obtained financing from Protective Life for $13.2 million of the acquisition price at a fixed interest rate of 4.25% with a 10-year term with the balance of the acquisition price paid from the Company’s existing cash resources. The note with Protective Life associated with the Indianapolis Transaction included a loan commitment for up to approximately $2.6 million of supplemental funding at the same terms and 4.25% fixed interest rate. The loan commitment was based on certain funding requirements being met and was drawn down by the Company on May 3, 2016. Effective July 28, 2015, the Company closed the acquisition of one senior living community located in Columbiana, Ohio, for approximately $13.3 million (the “Columbiana Transaction”). The community consists of 68 assisted living units. The Company incurred approximately $0.1 million in transaction costs related to this acquisition which have been included in general and administrative expenses within the Company’s Consolidated Statements of Operations and Comprehensive Loss. The Company obtained financing from Protective Life for approximately $9.9 million of the acquisition price at a fixed interest rate of 4.25% with a 10-year term with the balance of the acquisition price paid from the Company’s existing cash resources. Effective May 29, 2015, the Company closed the acquisition of one senior living community located in Oneonta, New York, for $14.9 million (the “Heritage Transaction”). The community consists of 64 independent living units and 44 assisted living units. The Company incurred approximately $0.4 million in transaction costs related to this acquisition which have been included in general and administrative expenses within the Company’s Consolidated Statements of Operations and Comprehensive Loss. The Company obtained financing from Fannie Mae for approximately $11.2 million of the acquisition price at a fixed interest rate of 4.79% with a 10-year term with the balance of the acquisition price paid from the Company’s existing cash resources. Effective May 21, 2015, the Company closed the acquisition of two senior living communities located in Hartford and West Bend, Wisconsin, for $12.0 million (the “Emerald Transaction”). The two communities consist of 79 assisted living units. The Company incurred approximately $0.2 million in transaction costs related to this acquisition which have been included in general and administrative expenses within the Company’s Consolidated Statements of Operations and Comprehensive Loss. The Company obtained financing from Fannie Mae for approximately $9.2 million of the acquisition price at a fixed interest rate of 4.55% with a 10-year term with the balance of the acquisition price paid from the Company’s existing cash resources. Effective March 27, 2015, the Company closed the acquisition of one senior living community located in Baytown, Texas, for approximately $29.6 million (the “Baytown Transaction”). The community consists of 9 independent living cottages and 120 assisted living units. The Company incurred approximately $0.2 million in transaction costs related to this acquisition which have been included in general and administrative expenses within the Company’s Consolidated Statements of Operations and Comprehensive Loss. The Company obtained financing from Protective Life for approximately $21.4 million of the acquisition price at a fixed interest rate of 3.55% with a 10-year term with the balance of the acquisition price paid from the Company’s existing cash resources. Effective January 13, 2015, the Company closed the acquisition of one senior living community located in Green Bay, Wisconsin, for approximately $18.3 million (the “Green Bay Transaction”). The community consists of 78 assisted living units. The Company incurred approximately $0.1 million in transaction costs related to this acquisition which have been included in general and administrative expenses within the Company’s Consolidated Statements of Operations and Comprehensive Loss. The Company obtained financing from Fannie Mae for approximately $14.1 million of the acquisition price at a fixed interest rate of 4.35% with a 10-year term with the balance of the acquisition price paid from the Company’s existing cash resources. As a result of these acquisitions, during fiscal 2015 the Company recorded additions to property and equipment of approximately $148.0 million and other assets of approximately $14.6 million, primarily consisting of in-place lease intangibles, within the Company’s Consolidated Balance Sheets which will be depreciated or amortized over the estimated useful lives. The purchase accounting for the Virginia Beach Transaction which closed during the fourth quarter of fiscal 2015 was preliminary as it was subject final valuation adjustments. During the first quarter of fiscal 2016, final valuation adjustments resulted in the Company reclassifying approximately $1.3 million from other assets to property and equipment to reflect the final purchase price allocation.

Dispositions

Dispositions	6 Months Ended
	Jun. 30, 2016
Discontinued Operations and Disposal Groups [Abstract]
Dispositions	4. DISPOSITIONS Effective August 6, 2015, the Company closed a transaction to sell one of its senior living communities located in Wichita, Kansas, for approximately $14.8 million (the “Sedgwick Sale Transaction”). As a result of the sale, outstanding mortgage debt totaling approximately $6.8 million was assumed by the buyer. The Company recognized a gain on sale of approximately $6.4 million and received net proceeds, less the debt assumption, of approximately $8.0 million. For income tax purposes, the Company executed a like-kind exchange and acquired a replacement property shortly after the sale which resulted in the deferral of the gain without the Company incurring any current federal or state income tax liabilities. The Company contracted with a qualified intermediary for purposes of reaching its determination that the transaction satisfied all requirements of a like-kind exchange under applicable federal and state income tax law. Effective January 22, 2015, the Company closed a transaction to sell four of its senior living communities located in Oklahoma City, Oklahoma, Shreveport, Louisiana, Southfield, Michigan, and Winston-Salem, North Carolina, in a single transaction for approximately $36.5 million (the “Four Property Sale Transaction”). As a result of the sale, the outstanding mortgage debt on the Company’s senior living communities located in Oklahoma City and Shreveport was repaid without incurring any prepayment penalties as these notes were short-term, bridge loan interim financing. However, the mortgage loan associated with the Company’s senior living community located in Winston-Salem could not be prepaid under the existing loan agreement as it did not offer a prepayment provision. Additionally, this mortgage loan was cross-collateralized with another mortgage loan on one of the Company’s senior living communities located in Peoria, Illinois, which also did not offer a prepayment provision. Therefore, the Company determined it would defease the Winston-Salem and Peoria mortgage loans by acquiring certain treasury securities to serve as collateral for the outstanding principal balance as of the date of the sale until the note matured on September 1, 2015. The Company contracted with a third party trust to assume the mortgage debt and assigned all of its rights to the treasury securities to serve as collateral until the balance remaining comes due. Based on this structure, the Company concluded it met the requirements to report the debt transaction as a legal defeasance which resulted in the Company removing the respective assets and liabilities from its Consolidated Balance Sheet during the first quarter of fiscal 2015 when the transaction closed. The Company had reported these assets as held for sale at December 31, 2014, and recorded a remeasurement write-down of approximately $0.6 million to adjust the carrying values of these assets to the sales price, less costs to sell. As a result of the sale, the Company received net proceeds of approximately $35.7 million.

Debt Transactions

Debt Transactions	6 Months Ended
	Jun. 30, 2016
Debt Disclosure [Abstract]
Debt Transactions	5. DEBT TRANSACTIONS On June 15, 2016, the Company completed supplemental mortgage financing of approximately $16.9 million from Fannie Mae on four senior living communities located in Texas, two senior living communities located in Ohio, and one senior living community located in Missouri at a fixed interest rate of 4.98% which are coterminous with the original mortgage debt on each respective property maturing in July 2024. The supplemental mortgage loans are cross-collateralized and cross-defaulted with the original mortgage debt. The Company incurred approximately $0.5 million in deferred financing costs related to these loans, which are being amortized over the remaining initial loan terms. On May 3, 2016, the Company drew down approximately $2.6 million of supplemental funding proceeds from Protective Life associated with the Indianapolis Transaction at a fixed interest rate of 4.25% with a 10-year term and principal amortized over a 30-year term. The loan commitment was based on certain funding requirements being met and was available to the Company through February 28, 2018. On February 16, 2016, in conjunction with the Pensacola Transaction, the Company obtained $35.0 million of mortgage debt from Protective Life. The new mortgage loan has a 10-year term with a 4.38% fixed interest rate and the principal amortized over a 30-year term. The Company incurred approximately $0.4 million in deferred financing costs related to this loan, which are being amortized over 10 years. On January 26, 2016, in conjunction with the Pine Ridge Transaction, the Company obtained approximately $11.3 million of mortgage debt from Protective Life. The new mortgage loan has a 10-year term with a 4.50% fixed interest rate and the principal amortized over a 30-year term. The Company incurred approximately $0.2 million in deferred financing costs related to this loan, which are being amortized over 10 years. The Company issued standby letters of credit, totaling approximately $3.9 million, for the benefit of Hartford Financial Services (“Hartford”) associated with the administration of workers compensation. The Company issued standby letters of credit, totaling approximately $6.6 million, for the benefit of Welltower, Inc. (“Welltower”), formerly Healthcare REIT, Inc. on certain leases between Welltower and the Company. The Company issued standby letters of credit, totaling approximately $2.7 million, for the benefit of HCP, Inc. (“HCP”) on certain leases between HCP and the Company. The senior housing communities owned by the Company and encumbered by mortgage debt are provided as collateral under their respective loan agreements. At June 30, 2016 and December 31, 2015, these communities carried a total net book value of approximately $874.6 million and $818.7 million, respectively, with total mortgage loans outstanding, excluding deferred loan costs, of approximately $834.4 million and $777.1 million, respectively. In connection with the Company’s loan commitments described above, the Company incurred financing charges that were deferred and amortized over the terms of the respective notes. At June 30, 2016 and December 31, 2015, the Company had gross deferred loan costs of approximately $11.4 million and $10.3 million, respectively, which are reflected as a reduction to notes payable within the Company’s Consolidated Balance Sheets. Accumulated amortization was approximately $2.4 million and $1.8 million at June 30, 2016 and December 31, 2015, respectively. The Company was in compliance with all aspects of its outstanding indebtedness at June 30, 2016, and December 31, 2015.

Equity

Equity	6 Months Ended
	Jun. 30, 2016
Equity [Abstract]
Equity	6. EQUITY Preferred Stock The Company is authorized to issue preferred stock in series and to fix and state the voting powers and such designations, preferences and relative participating, optional or other special rights of the shares of each such series and the qualifications, limitations and restrictions thereof. Such action may be taken by the Company’s board of directors without stockholder approval. The rights, preferences and privileges of holders of common stock are subject to the rights of the holders of preferred stock. No preferred stock was outstanding as of June 30, 2016 and December 31, 2015. Share Repurchases On January 22, 2009, the Company’s board of directors approved a share repurchase program that authorized the Company to purchase up to $10.0 million of the Company’s common stock. Purchases may be made from time to time using a variety of methods, which may include open market purchases, privately negotiated transactions or block trades, or by any combination of such methods, in accordance with applicable insider trading and other securities laws and regulations. The size, scope and timing of any purchases will be based on business, market and other conditions and factors, including price, regulatory and contractual requirements or consents, and capital availability. The repurchase program does not obligate the Company to acquire any particular amount of common stock and the share repurchase authorization has no stated expiration date. Shares of stock repurchased under the program will be held as treasury shares. Pursuant to this authorization, during fiscal 2009, the Company purchased 349,800 shares at an average cost of $2.67 per share for a total cost to the Company of approximately $0.9 million. On January 14, 2016, the Company announced that its board of directors approved a continuation of the share repurchase program. Pursuant to this authorization, during the first six months of fiscal 2016, the Company purchased 144,315 shares of its common stock at an average cost of $17.29 per share for a total cost to the Company of approximately $2.5 million. All such purchases were made in open market transactions.

Stock-Based Compensation

Stock-Based Compensation	6 Months Ended
	Jun. 30, 2016
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Stock-Based Compensation	7. STOCK-BASED COMPENSATION The Company recognizes compensation expense for share-based stock awards to certain employees and directors, including grants of employee stock options and awards of restricted stock, in the Company’s Consolidated Statements of Operations and Comprehensive Loss based on their fair values. On May 8, 2007, the Company’s stockholders approved the 2007 Omnibus Stock and Incentive Plan for Capital Senior Living Corporation (as amended, the “2007 Plan”), which provides for, among other things, the grant of restricted stock awards and stock options to purchase shares of the Company’s common stock. The 2007 Plan authorizes the Company to issue up to 4.6 million shares of common stock and the Company has reserved shares of common stock for future issuance pursuant to awards under the 2007 Plan. Stock Options Although the Company has not granted stock options in recent years, the Company’s stock option program is a long-term retention program that is intended to attract, retain and provide incentives for employees, officers and directors and to more closely align stockholder interests with those of our employees and directors. The Company’s stock options generally vest over a period of one to five years and the related expense is amortized on a straight-line basis over the vesting period. A summary of the Company’s stock option activity and related information for the six month period ended June 30, 2016, is presented below: Outstanding at Granted Exercised Forfeited Outstanding at Options Shares 3,000 — 3,000 — — — Weighted average exercise price per share $ 10.97 $ — $ 10.97 $ — $ — $ — There were no stock options outstanding or exercisable at June 30, 2016. Restricted Stock The Company may grant restricted stock awards and units to employees, officers, and directors in order to attract, retain, and provide incentives for such individuals and to more closely align stockholder and employee interests. For restricted stock awards and units without performance-based vesting conditions, the Company records compensation expense for the entire award on a straight-line basis over the requisite service period, which is generally a period of one to four years, unless the award is subject to certain accelerated vesting requirements. Restricted stock awards are considered outstanding at the time of grant since the holders thereof are entitled to dividends, upon vesting, and voting rights. For restricted stock awards with performance-based vesting conditions, total compensation expense is recognized over the requisite service period for each separately vesting tranche of the award as if the award is, in substance, multiple awards once the performance target is deemed probable of achievement. Performance goals are evaluated periodically, and if such goals are not ultimately met or it is not probable the goals will be achieved, no compensation expense is recognized and any previously recognized compensation expense is reversed. The Company recognizes compensation expense of a restricted stock award and unit over its respective vesting or performance period based on the fair value of the award on the grant date, net of forfeitures. A summary of the Company’s restricted stock awards activity and related information for the six month period ended June 30, 2016, is presented below: Outstanding at Granted Vested Forfeited/Cancelled Outstanding at Shares 783,310 612,471 329,786 14,461 1,051,534 The restricted stock outstanding at June 30, 2016 had an intrinsic value of approximately $18.6 million. During the six month period ended June 30, 2016, the Company awarded 612,471 shares of restricted common stock to certain employees and directors of the Company, of which 199,692 shares were subject to performance-based vesting conditions. The average market value of the common stock on the date of grant was $16.14. These awards of restricted shares vest over a one to four-year period and had an intrinsic value of approximately $9.9 million on the date of grant. Additionally, during the three month period ended June 30, 2016, the Company awarded 8,220 restricted stock units to certain directors of the Company with an average market value of $18.25 on the date of grant that vest over a one-year period. Stock-Based Compensation The Company uses the Black-Scholes option pricing model to estimate the grant date fair value of its stock options. The Black-Scholes model requires the input of certain assumptions including expected volatility, expected dividend yield, expected life of the option and the risk free interest rate. The expected volatility used by the Company is based primarily on an analysis of historical prices of the Company’s common stock. The expected term of options granted is based primarily on historical exercise and vesting patterns on the Company’s outstanding stock options. The risk free rate is based on zero-coupon U.S. Treasury yields in effect at the date of grant with the same period as the expected option life. The Company does not currently plan to pay dividends on its common stock and therefore has used a dividend yield of zero in determining the fair value of its awards. The option forfeiture rate assumption used by the Company, which affects the expense recognized as opposed to the fair value of the awards, is based primarily on the Company’s historical option forfeiture patterns. The Company issued no stock options during each of the six month periods ended June 30, 2016 and 2015. Unrecognized stock-based compensation expense, net of estimated forfeitures, is $13.6 million as of June 30, 2016, and the Company expects this expense to be recognized over a one-year period for performance stock awards and a one to four-year period for nonperformance stock awards.

Contingencies

Contingencies	6 Months Ended
	Jun. 30, 2016
Commitments and Contingencies Disclosure [Abstract]
Contingencies	8. CONTINGENCIES The Company has claims incurred in the normal course of its business. Most of these claims are believed by management to be covered by insurance, subject to normal reservations of rights by the insurance companies and possibly subject to certain exclusions in the applicable insurance policies. Whether or not covered by insurance, these claims, in the opinion of management, based on advice of legal counsel, should not have a material effect on the consolidated financial statements of the Company if determined adversely to the Company.

Fair Value of Financial Instrum

Fair Value of Financial Instruments	6 Months Ended
	Jun. 30, 2016
Fair Value Disclosures [Abstract]
Fair Value of Financial Instruments	9. FAIR VALUE OF FINANCIAL INSTRUMENTS The carrying amounts and fair values of financial instruments at June 30, 2016, and December 31, 2015, are as follows (in thousands): 2016 2015 Carrying Amount Fair Value Carrying Amount Fair Value Cash and cash equivalents $ 44,486 $ 44,486 $ 56,087 $ 56,087 Restricted cash 13,167 13,167 13,159 13,159 Notes payable, excluding deferred loan costs 838,825 830,404 777,116 724,769 The following methods and assumptions were used in estimating the Company’s fair value disclosures for financial instruments: Cash and cash equivalents and Restricted cash: Notes payable: The estimated fair value of these assets and liabilities could be affected by market changes and this effect could be material.

Summary of Significant Accoun15

Summary of Significant Accounting Policies (Policies)	6 Months Ended
	Jun. 30, 2016
Accounting Policies [Abstract]
Lease Accounting	Lease Accounting The Company determines whether to account for its leases as operating, capital or financing leases depending on the underlying terms of each lease agreement. This determination of classification is complex and requires significant judgment relating to certain information including the estimated fair value and remaining economic life of the community, the Company’s cost of funds, minimum lease payments and other lease terms. As of June 30, 2016, the Company leased 50 senior living communities, 48 of which the Company classified as operating leases and two of which the Company classified as capital lease and financing obligations. The Company incurs lease acquisition costs and amortizes these costs over the term of the respective lease agreement. Certain leases entered into by the Company qualified as sale/leaseback transactions, and as such, any related gains have been deferred and are being amortized over the respective lease term. Facility lease expense in the Company’s Consolidated Statements of Operations and Comprehensive Loss includes rent expense plus amortization expense relating to leasehold acquisition costs slightly offset by the amortization of deferred gains and lease incentives. There are various financial covenants and other restrictions in the Company’s lease agreements. The Company was in compliance with all of its lease covenants at June 30, 2016.
Credit Risk and Allowance for Doubtful Accounts	Credit Risk and Allowance for Doubtful Accounts The Company’s resident receivables are generally due within 30 days from the date billed. Accounts receivable are reported net of an allowance for doubtful accounts of $3.7 million and $3.2 million at June 30, 2016, and December 31, 2015, respectively, and represent the Company’s estimate of the amount that ultimately will be collected. The adequacy of the Company’s allowance for doubtful accounts is reviewed on an ongoing basis, using historical payment trends, write-off experience, analyses of receivable portfolios by payor source and aging of receivables, as well as a review of specific accounts, and adjustments are made to the allowance as necessary. Credit losses on resident receivables have historically been within management’s estimates, and management believes that the allowance for doubtful accounts adequately provides for expected losses.
Employee Health and Dental Benefits, Workers' Compensation, and Insurance Reserves	Employee Health and Dental Benefits, Workers’ Compensation, and Insurance Reserves The Company offers certain full-time employees an option to participate in its health and dental plans. The Company is self-insured up to certain limits and is insured if claims in excess of these limits are incurred. The cost of employee health and dental benefits, net of employee contributions, is shared between the corporate office and the senior living communities based on the respective number of plan participants. Funds collected are used to pay the actual program costs including estimated annual claims, third-party administrative fees, network provider fees, communication costs, and other related administrative costs incurred by the plans. Claims are paid as they are submitted to the Company’s third-party administrator. The Company records a liability for outstanding claims and claims that have been incurred but not yet reported. This liability is based on the historical claim reporting lag and payment trends of health insurance claims. Management believes that the liability for outstanding losses and expenses is adequate to cover the ultimate cost of losses and expenses incurred at June 30, 2016; however, actual claims and expenses may differ. Any subsequent changes in estimates are recorded in the period in which they are determined. The Company uses a combination of insurance and self-insurance for workers’ compensation. Determining the reserve for workers’ compensation losses and costs that the Company has incurred as of the end of a reporting period involves significant judgments based on projected future events including potential settlements for pending claims, known incidents which may result in claims, estimates of incurred but not yet reported claims, changes in insurance premiums, estimated litigation costs and other factors. The Company regularly adjusts these estimates to reflect changes in the foregoing factors. However, since this reserve is based on estimates, the actual expenses incurred may differ from the amounts reserved. Any subsequent changes in estimates are recorded in the period in which they are determined.
Income Taxes	Income Taxes Income taxes are computed using the asset and liability method and current income taxes are recorded based on amounts refundable or payable in the current year. The effective tax rates for the three and six months ended June 30, 2016 and 2015 differ from the statutory tax rates due to state income taxes, permanent tax differences, and changes in the deferred tax asset valuation allowance. The Company is impacted by the Texas Margin Tax (“TMT”), which effectively imposes tax on modified gross revenues for communities within the State of Texas. During each of the second quarters of fiscal 2016 and 2015, the Company consolidated 37 Texas communities and the TMT increased the overall provision for income taxes. Deferred income taxes are recorded based on the estimated future tax effects of loss carryforwards and temporary differences between financial statement carrying amounts of existing assets and liabilities and their respective tax basis. Deferred tax assets and liabilities are measured using enacted tax rates that are expected to apply to taxable income in the years in which we expect those carryforwards and temporary differences to be recovered or settled. Management regularly evaluates the future realization of deferred tax assets and provides a valuation allowance, if considered necessary, based on such evaluation. As part of the evaluation, management has evaluated taxable income in carryback years, future reversals of taxable temporary differences, feasible tax planning strategies, and future expectations of income. Based upon this analysis, adjustments to the valuation allowance of $1.5 million and $1.9 million were recorded during the second quarters of fiscal 2016 and 2015, respectively, to increase the valuation allowance provided to $25.7 million and $21.6 million at June 30, 2016 and 2015, respectively. Cumulative adjustments to the valuation allowance for the first six months of fiscal 2016 and 2015 were $3.4 million and $4.4 million, respectively. These adjustments to the valuation allowance were provided to reduce the Company’s net deferred tax assets to the amount that is more likely than not to be realized. However, in the event that we were to determine that it would be more likely than not that the Company would realize the benefit of deferred tax assets in the future in excess of their net recorded amounts, adjustments to deferred tax assets would increase net income in the period such determination was made. The benefits of the net deferred tax assets might not be realized if actual results differ from expectations. The Company evaluates uncertain tax positions through consideration of accounting and reporting guidance on criteria, measurement, derecognition, classification, interest and penalties, accounting in interim periods, disclosure, and transition that is intended to provide better financial statement comparability among different companies. The Company is required to recognize a tax benefit in its financial statements for an uncertain tax position only if management’s assessment is that such position is “more likely than not” (i.e., a greater than 50% likelihood) to be upheld on audit based only on the technical merits of the tax position. The Company’s policy is to recognize interest related to unrecognized tax benefits as interest expense and penalties as income tax expense. The Company is generally no longer subject to federal and state income tax audits for tax years prior to 2012.
Net loss Per Share	Net Loss Per Share Basic net loss per common share is computed by dividing net loss by the weighted average number of common shares outstanding for the period. Potentially dilutive securities consist of unvested restricted shares and shares that could be issued under outstanding stock options. Potentially dilutive securities are excluded from the computation of net loss per common share if their effect is antidilutive. The following table sets forth the computation of basic and diluted net loss per share (in thousands, except for per share amounts): Three Months Ended June 30, Six Months Ended June 30, 2016 2015 2016 2015 Net loss $ (4,446 ) $ (5,166 ) $ (10,430 ) $ (11,205 ) Net loss allocated to unvested restricted shares — (139 ) — (307 ) Undistributed net loss allocated to common shares $ (4,446 ) $ (5,027 ) $ (10,430 ) $ (10,898 ) Weighted average shares outstanding – basic 28,926 28,705 28,838 28,636 Effects of dilutive securities: Employee equity compensation plans — — — — Weighted average shares outstanding – diluted 28,926 28,705 28,838 28,636 Basic net loss per share – common shareholders $ (0.15 ) $ (0.18 ) $ (0.36 ) $ (0.38 ) Diluted net loss per share – common shareholders $ (0.15 ) $ (0.18 ) $ (0.36 ) $ (0.38 ) Awards of unvested restricted stock representing approximately 1,052,000 and 783,000 shares were outstanding for the three months ended June 30, 2016 and 2015, respectively, and awards of unvested restricted stock representing approximately 1,043,000 and 792,000 shares were outstanding for the six months ended June 30, 2016 and 2015, respectively, and were antidilutive. During fiscal 2015, the unvested restricted stock did not meet all of the requirements to be deemed participating securities. Therefore, for current and future reporting periods, (losses) earnings per share will be calculated under the treasury method and the two-class method will no longer be utilized by the Company.
Treasury Stock	Treasury Stock The Company accounts for treasury stock under the cost method and includes treasury stock as a component of stockholders’ equity. During the first six months of fiscal 2016, the Company repurchased 144,315 shares of its common stock in open market transactions.
Recently Issued Accounting Guidance	Recently Issued Accounting Guidance In March 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2016-09, Improvements to Employee Share-based Payment Accounting. ASU 2016-09 simplifies several aspects of the accounting for share-based payment transactions, including the income tax consequences, classification of awards as either equity or liabilities, and classification on the statement of cash flows. The amendments in ASU 2016-09 are effective for annual periods beginning after December 15, 2016, and interim periods within those annual periods. Early application is permitted. The Company is currently evaluating the impact the adoption of ASU 2016-09 will have on the Company’s consolidated financial statements and disclosures. In February 2016, the FASB issued ASU 2016-02, Leases. ASU 2016-02 amends the existing accounting standards for lease accounting, including requiring lessees to recognize most leases on their balance sheets and making targeted changes to lessor accounting. ASU 2016-02 will be effective beginning in 2019. Early adoption of ASU 2016-02 as of its issuance is permitted. The new leases standard requires a modified retrospective transition approach for all leases existing at, or entered into after, the date of initial application, with an option to use certain transition relief. We are currently evaluating the impact of adopting the new leases standard on our consolidated financial statements. In September 2015, the FASB issued ASU 2015-16, Business Combinations – Simplifying the Accounting for Measurement-Period Adjustments. ASU 2015-16 eliminates the requirement for an acquirer in a business combination to account for the measurement-period adjustment retrospectively. Instead, acquirers must recognize measurement-period adjustments during the period in which they determine the amounts, including the effect on earnings of any amounts they would have recorded in previous periods if the accounting had been completed at the acquisition date. ASU 2015-16 is applied prospectively and is effective for fiscal years beginning after December 15, 2015, and interim periods within those fiscal years. Early application is permitted. The Company adopted the provisions of ASU 2015-16 on January 1, 2016, and incorporated the provisions of this update to its consolidated financial statements upon adoption. During the first quarter of fiscal 2016, final valuation adjustments resulted in the Company reclassifying approximately $1.3 million from other assets to property and equipment to reflect final purchase price allocations. As a result of adoption of ASU 2015-16, prior periods were not adjusted and recast to reflect this reclassification within the Company’s Consolidated Balance Sheets. In August 2014, the FASB issued ASU 2014-15, Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern. This ASU requires management to perform interim and annual assessments of an entity’s ability to continue as a going concern within one year of the date the financial statements are issued and to provide certain disclosures if conditions or events raise substantial doubt about the entity’s ability to continue as a going concern. ASU 2014-15 is effective for annual reporting periods ending after December 15, 2016 and subsequent interim reporting periods. Management does not expect the adoption of ASU 2014-15 to have a material impact on the company’s financial position, results of operations or cash flows. In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers. ASU 2014-09 affects any entity that either enters into contracts with customers to transfer goods or services or enters into contracts for the transfer of nonfinancial assets. Under ASU 2014-09, an entity will recognize revenue when it transfers promised goods or services to customers in an amount that reflects what it expects in exchange for the goods or services. ASU 2014-09 is effective for annual periods beginning after December 15, 2017. The Company is currently evaluating the impact the adoption of ASU 2014-09 will have on the Company’s consolidated financial statements and disclosures.

Summary of Significant Accoun16

Summary of Significant Accounting Policies (Tables)	6 Months Ended
	Jun. 30, 2016
Accounting Policies [Abstract]
Computation of Basic and Diluted Net Loss Per Share	The following table sets forth the computation of basic and diluted net loss per share (in thousands, except for per share amounts): Three Months Ended June 30, Six Months Ended June 30, 2016 2015 2016 2015 Net loss $ (4,446 ) $ (5,166 ) $ (10,430 ) $ (11,205 ) Net loss allocated to unvested restricted shares — (139 ) — (307 ) Undistributed net loss allocated to common shares $ (4,446 ) $ (5,027 ) $ (10,430 ) $ (10,898 ) Weighted average shares outstanding – basic 28,926 28,705 28,838 28,636 Effects of dilutive securities: Employee equity compensation plans — — — — Weighted average shares outstanding – diluted 28,926 28,705 28,838 28,636 Basic net loss per share – common shareholders $ (0.15 ) $ (0.18 ) $ (0.36 ) $ (0.38 ) Diluted net loss per share – common shareholders $ (0.15 ) $ (0.18 ) $ (0.36 ) $ (0.38 )

Stock-Based Compensation (Table

Stock-Based Compensation (Tables)	6 Months Ended
	Jun. 30, 2016
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Stock Option Activity and Related Information	A summary of the Company’s stock option activity and related information for the six month period ended June 30, 2016, is presented below: Outstanding at Granted Exercised Forfeited Outstanding at Options Shares 3,000 — 3,000 — — — Weighted average exercise price per share $ 10.97 $ — $ 10.97 $ — $ — $ —
Restricted Stock Awards Activity and Related Information	A summary of the Company’s restricted stock awards activity and related information for the six month period ended June 30, 2016, is presented below: Outstanding at Granted Vested Forfeited/Cancelled Outstanding at Shares 783,310 612,471 329,786 14,461 1,051,534

Fair Value of Financial Instr18

Fair Value of Financial Instruments (Tables)	6 Months Ended
	Jun. 30, 2016
Fair Value Disclosures [Abstract]
Carrying Amounts and Fair Values of Financial Instruments	The carrying amounts and fair values of financial instruments at June 30, 2016, and December 31, 2015, are as follows (in thousands): 2016 2015 Carrying Amount Fair Value Carrying Amount Fair Value Cash and cash equivalents $ 44,486 $ 44,486 $ 56,087 $ 56,087 Restricted cash 13,167 13,167 13,159 13,159 Notes payable, excluding deferred loan costs 838,825 830,404 777,116 724,769

Basis of Presentation - Additio

Basis of Presentation - Additional Information (Detail)	Jun. 30, 2016CommunityStateResident
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Senior living communities operated by company	126
Number of states in which senior living communities operated | State	23
Aggregate capacity of residents in company operated senior living communities | Resident	15,800
Senior living communities owned by company	76
Senior living communities on lease by company	50

Summary of Significant Accoun20

Summary of Significant Accounting Policies - Additional Information (Detail) $ in Millions	3 Months Ended			6 Months Ended		12 Months Ended
	Jun. 30, 2016USD ($)Communityshares	Mar. 31, 2016USD ($)	Jun. 30, 2015USD ($)Communityshares	Jun. 30, 2016USD ($)Communityshares	Jun. 30, 2015USD ($)shares	Dec. 31, 2009shares	Dec. 31, 2015USD ($)
Accounting Policies [Line Items]
Senior living communities on lease by company | Community	50			50
Communities on operating lease | Community	48			48
Senior living communities on capital lease and financing obligations | Community	2			2
Resident receivables due period				30 days
Allowance for doubtful accounts | $	$ 3.7			$ 3.7			$ 3.2
Adjustments to valuation allowance | $	1.5		$ 1.9	3.4	$ 4.4
Deferred tax assets valuation allowance | $	$ 25.7		$ 21.6	$ 25.7	$ 21.6
Uncertain tax position maximum percentage				50.00%
Outstanding unvested restricted stock | shares	1,052,000		783,000	1,043,000	792,000
Repurchase of common stock | shares				144,315		349,800
Property and Equipment [Member]
Accounting Policies [Line Items]
Valuation adjustments | $		$ 1.3
Texas [Member]
Accounting Policies [Line Items]
Number of communities consolidated | Community	37		37

Summary of Significant Accoun21

Summary of Significant Accounting Policies - Computation of Basic and Diluted Net Loss Per Share (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015
Accounting Policies [Abstract]
Net loss	$ (4,446)	$ (5,166)	$ (10,430)	$ (11,205)
Net loss allocated to unvested restricted shares		(139)		(307)
Undistributed net loss allocated to common shares	$ (4,446)	$ (5,027)	$ (10,430)	$ (10,898)
Weighted average shares outstanding - basic	28,926	28,705	28,838	28,636
Effects of dilutive securities:
Employee equity compensation plans	0	0	0	0
Weighted average shares outstanding - diluted	28,926	28,705	28,838	28,636
Basic net loss per share - common shareholders	$ (0.15)	$ (0.18)	$ (0.36)	$ (0.38)
Diluted net loss per share - common shareholders	$ (0.15)	$ (0.18)	$ (0.36)	$ (0.38)

Acquisitions - Additional Infor

Acquisitions - Additional Information (Detail) $ in Millions	Feb. 16, 2016USD ($)CommunityAssisted_Living_Unit	Jan. 26, 2016USD ($)CommunityAssisted_Living_Unit	Oct. 30, 2015USD ($)CommunityAssisted_Living_Unit	Jun. 30, 2016USD ($)	Dec. 31, 2015USD ($)
Business Acquisition [Line Items]
Acquisition cost			$ 38
Number of acquisition closed | Community			1
Number of assisted living units | Assisted_Living_Unit			111
Long term finance			$ 28
Long term fixed interest rate			4.25%
Maximum period for expansion of permanent financing			10 years
Additions to property and equipment				$ 59.4	$ 148
Finite lived intangible asset acquired in place leases during period				$ 5.4
Pensacola Florida [Member]
Business Acquisition [Line Items]
Acquisition cost	$ 48
Number of acquisition closed | Community	2
Number of assisted living units | Assisted_Living_Unit	179
Transaction cost related to acquisition	$ 0.3
Long term finance	$ 35
Long term fixed interest rate	4.38%
Maximum period for expansion of permanent financing	10 years
Colby Park Falls [Member]
Business Acquisition [Line Items]
Acquisition cost		$ 16.8
Number of acquisition closed | Community		3
Number of assisted living units | Assisted_Living_Unit		138
Transaction cost related to acquisition		$ 0.1
Long term finance		$ 11.3
Long term fixed interest rate		4.50%
Maximum period for expansion of permanent financing		10 years

Acquisitions - Additional Inf23

Acquisitions - Additional Information 1 (Detail) $ in Millions

Oct. 30, 2015USD ($)CommunityAssisted_Living_Unit

Sep. 30, 2015USD ($)CommunityAssisted_Living_Unit

Aug. 11, 2015USD ($)CommunityAssisted_Living_Unit

Jul. 28, 2015USD ($)CommunityAssisted_Living_Unit

May 29, 2015USD ($)CommunityAssisted_Living_UnitIndependent_Living_Unit

May 21, 2015USD ($)CommunityAssisted_Living_Unit

Mar. 27, 2015USD ($)CommunityAssisted_Living_UnitIndependent_Living_Unit

Jan. 13, 2015USD ($)CommunityAssisted_Living_Unit

Mar. 31, 2016USD ($)

Jun. 30, 2016USD ($)

Dec. 31, 2015USD ($)

May 03, 2016

Business Acquisition [Line Items]

Acquisition cost

$ 38

Number of acquisition closed | Community

1

Number of assisted living units | Assisted_Living_Unit

111

Transaction cost of acquisition

$ 0.1

Long term finance

$ 28

Long term fixed interest rate

4.25%

Maximum period for expansion of permanent financing

10 years

Additions to property and equipment

$ 59.4

$ 148

Finite lived intangible asset acquired in place leases during period

$ 5.4

Other Asset [Member]

Business Acquisition [Line Items]

Finite lived intangible asset acquired in place leases during period

$ 14.6

Property and Equipment [Member]

Business Acquisition [Line Items]

Valuation adjustments

$ 1.3

Mahomet Transaction [Member]

Business Acquisition [Line Items]

Acquisition cost

$ 15.5

Number of acquisition closed | Community

1

Number of assisted living units | Assisted_Living_Unit

78

Transaction cost of acquisition

$ 0.1

Long term finance

$ 11.1

Long term fixed interest rate

4.69%

Maximum period for expansion of permanent financing

10 years

Indianapolis Transaction [Member]

Business Acquisition [Line Items]

Acquisition cost

$ 21

Number of acquisition closed | Community

1

Number of assisted living units | Assisted_Living_Unit

124

Transaction cost of acquisition

$ 0.1

Long term finance

$ 13.2

Long term fixed interest rate

4.25%

4.25%

Maximum period for expansion of permanent financing

10 years

Indianapolis Transaction [Member] | Maximum [Member] | 4.25 % [Member]

Business Acquisition [Line Items]

Loan commitment

$ 2.6

Columbiana Transaction [Member]

Business Acquisition [Line Items]

Acquisition cost

$ 13.3

Number of acquisition closed | Community

1

Number of assisted living units | Assisted_Living_Unit

68

Transaction cost of acquisition

$ 0.1

Long term finance

$ 9.9

Long term fixed interest rate

4.25%

Maximum period for expansion of permanent financing

10 years

Heritage Transaction [Member]

Business Acquisition [Line Items]

Acquisition cost

$ 14.9

Number of acquisition closed | Community

1

Number of assisted living units | Assisted_Living_Unit

44

Transaction cost of acquisition

$ 0.4

Long term finance

$ 11.2

Long term fixed interest rate

4.79%

Maximum period for expansion of permanent financing

10 years

Number of independent living units | Independent_Living_Unit

64

Baytown Transaction [Member]

Business Acquisition [Line Items]

Acquisition cost

$ 29.6

Number of acquisition closed | Community

1

Number of assisted living units | Assisted_Living_Unit

120

Transaction cost of acquisition

$ 0.2

Long term finance

$ 21.4

Long term fixed interest rate

3.55%

Maximum period for expansion of permanent financing

10 years

Number of independent living units | Independent_Living_Unit

9

Green Bay Transaction [Member]

Business Acquisition [Line Items]

Acquisition cost

$ 18.3

Number of acquisition closed | Community

1

Number of assisted living units | Assisted_Living_Unit

78

Transaction cost of acquisition

$ 0.1

Long term finance

$ 14.1

Long term fixed interest rate

4.35%

Maximum period for expansion of permanent financing

10 years

Emerald Transaction [Member]

Business Acquisition [Line Items]

Acquisition cost

$ 12

Number of acquisition closed | Community

2

Number of assisted living units | Assisted_Living_Unit

79

Transaction cost of acquisition

$ 0.2

Long term finance

$ 9.2

Long term fixed interest rate

4.55%

Maximum period for expansion of permanent financing

10 years

Dispositions - Additional Infor

Dispositions - Additional Information (Detail) $ in Thousands	Aug. 06, 2015USD ($)Community	Jan. 22, 2015USD ($)Community	Jun. 30, 2015USD ($)	Dec. 31, 2014USD ($)
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Proceeds from disposition of assets			$ 35,807
Four Property Sale Transaction [Member]
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Number of communities sold | Community		4
Proceeds from disposition of assets		$ 35,700
Transaction proceeds		$ 36,500
Aggregate fair value less cost of disposal				$ 600
Sedgwick Sale Transaction [Member]
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Transaction proceeds	$ 14,800
Number of communities sold | Community	1
Outstanding debt assumed by buyer	$ 6,800
Gain on sale of assets	6,400
Proceeds from disposition of assets	$ 8,000

Debt Transactions - Additional

Debt Transactions - Additional Information (Detail) $ in Millions	Jun. 15, 2016USD ($)Community	May 03, 2016USD ($)	Feb. 16, 2016USD ($)	Jan. 26, 2016USD ($)	Jun. 30, 2016USD ($)Community	Dec. 31, 2015USD ($)	Oct. 30, 2015	Aug. 11, 2015
Debt Instrument [Line Items]
Mortgage debt					$ 834.4	$ 777.1
Fixed interest rate							4.25%
Deferred financing cost					$ 11.4	10.3
Senior living communities operated by company | Community					126
Net book value of housing communities					$ 874.6	818.7
Accumulated amortization					2.4	$ 1.8
4.98% [Member] | Fannie Mae [Member]
Debt Instrument [Line Items]
Mortgage debt	$ 16.9
Fixed interest rate	4.98%
Mortgage debt maturity	2024-07
Deferred financing cost	$ 0.5
4.98% [Member] | Texas [Member] | Fannie Mae [Member]
Debt Instrument [Line Items]
Senior living communities operated by company | Community	4
4.98% [Member] | Ohio [Member] | Fannie Mae [Member]
Debt Instrument [Line Items]
Senior living communities operated by company | Community	2
4.98% [Member] | Missouri [Member] | Fannie Mae [Member]
Debt Instrument [Line Items]
Senior living communities operated by company | Community	1
Pensacola Transaction [Member] | 4.38 % [Member]
Debt Instrument [Line Items]
Mortgage debt			$ 35
Fixed interest rate			4.38%
Deferred financing cost			$ 0.4
Term period of mortgage loans			10 years
Term period of principal amortized			30 years
Deferred financing costs amortization period			10 years
Pine Ridge Transaction [Member] | 4.38 % [Member]
Debt Instrument [Line Items]
Mortgage debt				$ 11.3
Fixed interest rate				4.50%
Deferred financing cost				$ 0.2
Term period of mortgage loans				10 years
Term period of principal amortized				30 years
Deferred financing costs amortization period				10 years
Indianapolis Transaction [Member]
Debt Instrument [Line Items]
Fixed interest rate		4.25%						4.25%
Indianapolis Transaction [Member] | 4.25 % [Member]
Debt Instrument [Line Items]
Mortgage debt		$ 2.6
Term period of mortgage loans		10 years
Hartford Financial Services [Member]
Debt Instrument [Line Items]
Letters of credit					3.9
Welltower, Inc. [Member]
Debt Instrument [Line Items]
Letters of credit					6.6
HCP, Inc. [Member]
Debt Instrument [Line Items]
Letters of credit					$ 2.7

Equity - Additional Information

Equity - Additional Information (Detail) - USD ($)	6 Months Ended	12 Months Ended
	Jun. 30, 2016	Dec. 31, 2009	Dec. 31, 2015	Jan. 22, 2009
Equity [Abstract]
Preferred stock, shares outstanding	0		0
Authorization for purchase of company's common stock				$ 10,000,000
Purchase common stock shares	144,315	349,800
Average cost of per share	$ 17.29	$ 2.67
Purchase common stock value	$ 2,500,000	$ 900,000

Stock-Based Compensation - Addi

Stock-Based Compensation - Additional Information (Detail) - USD ($)	3 Months Ended	6 Months Ended
	Jun. 30, 2016	Jun. 30, 2016	May 08, 2007
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock options vesting period, Minimum		1 year
Stock options vesting period, Maximum		5 years
Number of stock options outstanding or exercisable	0	0
Period of recognition for compensation expense, Minimum		1 year
Period of recognition for compensation expense, Maximum		4 years
Expected dividend yield		0.00%
Unrecognized stock based compensation expense, net of estimated forfeitures	$ 13,600,000	$ 13,600,000
2007 Omnibus Stock and Incentive Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Authorized shares of common stock			4,600,000
Restricted Stock [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Compensation expense recognized		0
Restricted stock outstanding, intrinsic value	18,600,000	$ 18,600,000
Restricted common stock, Granted		612,471
Performance-based restricted stock, Granted		199,692
Average market value of restricted common stock awarded to certain employees and directors of company		$ 16.14
Restricted stock award vesting period, Minimum		1 year
Restricted stock award vesting period, Maximum		1 year
Restricted stock outstanding	$ 9,900,000	$ 9,900,000
Restricted Stock [Member] | Directors [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Restricted common stock, Granted	8,220
Average market value of common stock awarded to certain employees and directors of company	$ 18.25	$ 18.25
Restricted stock award vesting period	1 year
Performance Stock Awards [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Expected period of expenses		1 year
Nonperformance Stock Awards [Member] | Minimum [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Expected period of expenses		1 year
Nonperformance Stock Awards [Member] | Maximum [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Expected period of expenses		4 years

Stock-Based Compensation - Stoc

Stock-Based Compensation - Stock Option Activity and Related Information (Detail)	6 Months Ended
	Jun. 30, 2016$ / sharesshares
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Shares, Outstanding at Beginning of Period | shares	3,000
Shares, Granted | shares	0
Shares, Exercised | shares	3,000
Shares, Forfeited | shares	0
Shares, Options Exercisable | shares	0
Weighted average exercise price per share, Outstanding at Beginning of Period | $ / shares	$ 10.97
Weighted average exercise price per share, Granted | $ / shares	0
Weighted average exercise price per share, Exercised | $ / shares	10.97
Weighted average exercise price per share, Forfeited | $ / shares	0
Weighted average exercise price per share, Options Exercisable | $ / shares	$ 0

Stock-Based Compensation - Rest

Stock-Based Compensation - Restricted Stock Awards Activity and Related Information (Detail) - Restricted Stock [Member]	6 Months Ended
	Jun. 30, 2016shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares, Outstanding at Beginning of Period	783,310
Shares, Issued	612,471
Shares, Vested	329,786
Shares, Forfeited/Cancelled	14,461
Shares, Outstanding End of Period	1,051,534

Fair Value of Financial Instr30

Fair Value of Financial Instruments - Carrying Amounts and Fair Values of Financial Instruments (Detail) - USD ($) $ in Thousands	Jun. 30, 2016	Dec. 31, 2015
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Restricted cash	$ 13,167	$ 13,159
Carrying Amount [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Cash and cash equivalents	44,486	56,087
Restricted cash	13,167	13,159
Notes payable, excluding deferred loan costs	838,825	777,116
Fair Value [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Cash and cash equivalents	44,486	56,087
Restricted cash	13,167	13,159
Notes payable, excluding deferred loan costs	$ 830,404	$ 724,769