Contentious Care Home Administration

Quantuma oversee a contentious Care Home Administration.

Background:

  • The property holding company owned three care homes, two of which were operated by subsidiary companies under Quantuma’s control
  • The director had failed to remedy a catalogue of regulatory breaches and the secured lender had no choice but to appoint administrators
  • Senior secured debt, c.£4m

Outcomes:

  • On Quantuma’s appointment we stabilised the regulatory position.
  • Quantuma presented a fully funded business model which provided for an orderly wind down of operations such that all residents were transferred to new homes over a 3-month period
  • The closed homes were sold and rebuilt into better, larger facilities
  • The third home was operated on a sole trader basis by the owner of the property holding company, pursuant to a lease which he had granted himself on favourable terms
  • Quantuma used information gathered regarding the owners conduct to influence him to acquire the remaining freehold at its full market value.
  • The secured lender was repaid in full

 

For more information on Administrations, please click here