NAICS 622310 Quarterly Industry Report
Specialty (except Psychiatric and Substance Abuse) Hospitals
Comprehensive industry research for valuation professionals, business owners, buyers, and lenders
NAICS Code: 622310Sector: Health Care and Social Assistance (62)Updated: Q1 2026
About This Report
This industry profile for Specialty Hospitals (NAICS 622310) draws on data from the U.S. Census Bureau[8], Centers for Medicare and Medicaid Services[7], Bureau of Labor Statistics[9], and SBA size standards database[6]. Published by Fair Market Value and updated quarterly, it provides valuation professionals, specialty hospital analysts, and healthcare investors with current market data. All quantitative claims are sourced to publicly verifiable databases.
Industry Snapshot
Key metrics for the specialty (except psychiatric and substance abuse) hospitals industry.
NAICS Sector
62
Health Care and Social Assistance
Industry Definition & Overview
Specialty (except Psychiatric and Substance Abuse) Hospitals (NAICS 622310) encompasses establishments known and licensed as specialty hospitals primarily engaged in providing inpatient diagnostic and medical treatment for patients with a specific type of disease or medical condition per the U.S. Census Bureau[5]. This classification includes rehabilitation hospitals, long-term acute care hospitals (LTACHs), children's hospitals, orthopedic hospitals, cancer treatment centers, and other disease-specific inpatient facilities.
Roughly 1,890 facilities employ 267,675 workers per Census data. Encompass Health (formerly HealthSouth) operates as the largest inpatient rehabilitation hospital company with over 150 facilities. Kindred Healthcare (now part of ScionHealth) operates LTACH facilities, while Shriners Hospitals for Children and St. Jude Children's Research Hospital represent prominent pediatric specialty networks. Select Medical maintains both rehabilitation and LTACH operations across multiple states.
Per the SBA Table of Size Standards[6], the size standard is $47 million in average annual receipts. Inpatient Rehabilitation Facilities must comply with the 60 percent rule requiring that at least 60 percent of patients have one of 13 specified conditions including stroke, spinal cord injury, brain injury, and hip fracture per CMS[7] coverage requirements. IRF patients must receive 3 hours of therapy daily across at least 5 days per week in at least 2 modalities. LTACHs treat patients with average lengths of stay exceeding 25 days, focusing on complex medical conditions requiring intensive respiratory or ventilator support. CMS reimburses IRFs under the IRF Prospective Payment System and LTACHs under a separate LTACH PPS, both exempt from standard hospital DRG-based payments.
What's Included in This Industry
- Inpatient rehabilitation hospital treatment programs
- Long-term acute care hospital (LTACH) operations
- Pediatric specialty hospital inpatient services
- Orthopedic specialty hospital surgical and recovery care
- Cancer treatment center inpatient oncology programs
- Cardiac specialty hospital catheterization and surgery
- Intensive physical, occupational, and speech therapy
- Ventilator weaning and respiratory rehabilitation
- IRF Patient Assessment Instrument documentation
- Specialty hospital quality reporting and accreditation
NAICS Classification Hierarchy
| Level | Description | Code |
|---|---|---|
| Sector | Health Care and Social Assistance | 62 |
| Subsector | Hospitals | 622 |
| Industry Group | Specialty (except Psychiatric and Substance Abuse) Hospitals | 6223 |
| NAICS Industry | Specialty (except Psychiatric and Substance Abuse) Hospitals | 62231 |
| National Industry | Specialty (except Psychiatric and Substance Abuse) Hospitals | 622310 |
Related NAICS Codes
| Code | Description | Relationship |
|---|---|---|
| 622110 | General Medical and Surgical Hospitals | General Medical and Surgical Hospitals transfer patients to specialty hospitals for focused rehabilitation, long-term acute care, and disease-specific treatment when post-acute needs exceed general hospital capabilities and resources |
| 623110 | Nursing Care Facilities (Skilled Nursing Facilities) | Nursing Care Facilities serve as step-down destinations from specialty hospitals, with skilled nursing facilities receiving rehabilitation hospital patients who no longer require the intensity of inpatient rehabilitation but still need skilled nursing oversight |
| 621340 | Offices of Physical, Occupational and Speech Therapists, and Audiologists | Offices of Physical, Occupational and Speech Therapists provide outpatient rehabilitation that continues after specialty hospital discharge, with clinic-based therapy representing the next step in the rehabilitation care continuum for recovering patients |
| 621610 | Home Health Care Services | Home Health Care Services deliver post-discharge therapy and nursing care in patient homes as an alternative to institutional post-acute settings, with home-based rehabilitation competing with facility-based specialty hospital programs for appropriate patients |
| 622210 | Psychiatric and Substance Abuse Hospitals | Psychiatric and Substance Abuse Hospitals share the specialty inpatient hospital classification, with behavioral health facilities treating co-occurring psychiatric conditions that may complicate medical rehabilitation and long-term acute care treatment |
| 339113 | Surgical Appliance and Supplies Manufacturing | Surgical and Medical Instrument Manufacturing produces rehabilitation equipment, ventilator systems, and specialty surgical instruments that represent primary capital expenditures for specialty hospital facility buildout and treatment capability |
Geographic Concentration
Top states by share of national establishments.
| # | State | % Est. | Total Est. |
|---|---|---|---|
| 1 | Texas | 13.8% | 118 |
| 2 | Louisiana | 7.4% | 63 |
| 3 | Florida | 6.3% | 54 |
| 4 | Pennsylvania | 6.0% | 51 |
| 5 | California | 5.3% | 45 |
| 6 | Ohio | 4.7% | 40 |
| 7 | Illinois | 3.4% | 29 |
| 8 | Indiana | 3.2% | 27 |
| 9 | Michigan | 2.8% | 24 |
| 10 | New Jersey | 2.7% | 23 |
% Of Establishments
0%
14%
Source: County Business Patterns, U.S. Census Bureau[3]
SBA Lending Summary
40
Total SBA Loans
$6.9M
Total Loan Volume
$173K
Average Loan Size
10 yrs
Average Loan Term
10.60%
Average Interest Rate
816
Jobs Supported
Source: SBA 7(a) Program Data, U.S. Small Business Administration — FY 2025[4]
Key Insight: Per the SBA Table of Size Standards[6], Specialty Hospitals (NAICS 622310) has a size standard of $47 million in average annual receipts for federal contracting purposes. SBA lending programs[10] support facility acquisition, rehabilitation equipment investment, and capital improvement for qualifying specialty hospital operators. Eligible businesses can access SBA 7(a) loans[11] for working capital, equipment, and acquisition financing, while 504 loans[12] support major fixed-asset purchases including real estate and heavy machinery.
Top SBA Lenders
| # | Lender | Loans | Volume | Avg Loan |
|---|---|---|---|---|
| 1 | Cadence Bank | 8 | $4.0M | $500K |
| 2 | Peoples Bank | 8 | $1.2M | $150K |
| 2 | Readycap Lending, LLC | 8 | $1.2M | $150K |
| 4 | Northeast Bank | 16 | $522K | $33K |
Frequently Asked Questions
Common questions about this industry.
What is the NAICS code for specialty hospitals?
NAICS 622310 covers specialty hospitals providing inpatient care for specific diseases or conditions, including rehabilitation hospitals, LTACHs, and children's hospitals per the U.S. Census Bureau[5].
How many specialty hospitals operate in the U.S.?
Roughly 1,890 facilities employ 267,675 workers per Census Bureau[8] data, with Encompass Health, Select Medical, and ScionHealth operating the largest rehabilitation and LTACH networks.
What is the SBA size standard for specialty hospitals?
The SBA size standard[6] is $47 million in average annual receipts, determining eligibility for federal small business contracting programs and SBA lending products.
What is the 60 percent rule for rehabilitation hospitals?
IRFs must have at least 60 percent of patients with one of 13 specified conditions including stroke, spinal cord injury, brain injury, and hip fracture per CMS[7] coverage requirements, ensuring facilities maintain their rehabilitation mission.
How much therapy must IRF patients receive?
Patients must receive 3 hours of therapy daily across at least 5 days per week in at least 2 modalities per CMS[7] IRF coverage standards, with physical or occupational therapy required as at least one modality.
What is a long-term acute care hospital?
LTACHs treat patients with average lengths of stay exceeding 25 days who require intensive medical management for complex conditions, ventilator weaning, or respiratory rehabilitation per CMS[7] LTACH classification standards.
Who is the largest rehabilitation hospital company?
Encompass Health operates over 150 inpatient rehabilitation facilities as the largest rehabilitation hospital company per industry tracking data, with Select Medical maintaining both rehabilitation and LTACH operations across multiple states.
How does CMS reimburse specialty hospitals?
CMS[7] reimburses IRFs under the IRF Prospective Payment System using the IRF Patient Assessment Instrument, and LTACHs under a separate LTACH PPS, with both payment systems exempt from standard hospital DRG-based inpatient reimbursement.
Sources & References
Government datasets and editorial sources used in this report.
- [1]U.S. Bureau of Labor Statistics, Quarterly Census of Employment and Wages bls.gov
- [2]U.S. Census Bureau, Economic Census census.gov
- [3]U.S. Census Bureau, County Business Patterns census.gov
- [4]U.S. Small Business Administration, SBA 7(a) Loan Program Data data.sba.gov
- [5]U.S. Census Bureau census.gov
- [6]SBA Table of Size Standards sba.gov
- [7]CMS cms.gov
- [8]U.S. Census Bureau data.census.gov
- [9]Bureau of Labor Statistics bls.gov
- [10]SBA lending programs sba.gov
- [11]SBA 7(a) loans sba.gov
- [12]504 loans sba.gov
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