The local authorities are putting pressure on the Southern Cross for lowering fees of patient care and also by the leases on property that make an annual rent increase of about 2.5%
 
According to the Southern Cross, it has suffered a decline in the trading scenario since the 8th of February this year. It happens to be an organization that takes care of as many as 31,000 residents.
 
There is now the indulgence of advice management who will advice the lenders and landlords about the best strategies to go about it. Southern Cross has been criticized for the quality of their homes on a number of occasions.
 
They were of the view that “In the light of reduced local authority placements, the Company considers its current rent burden to be unsustainable and intends to step up discussions with landlords based on a more radical agenda”.
 
They further added that the main aim of these discussions is to renew and redesign the portfolio and further reduce the costs of rented homes. This shall later help in making the business news full of possibilities.