On Nov. 27, First Citizens Bank foreclosed upon New Friends Adult Day Health, an adult day care center located in east Charlotte. The company, which is owned by Walker Investment Holdings, is now in the process of finding a new home. The facility is one of 11 adult day care or day health centers located in Mecklenburg County. It has approximately 10 employees and assists approximately 30 clients.
The center, which specializes on assisting individuals with Alzheimer’s Disease, has been at its current location for approximately five years. The director for the facility stated that she hopes that the Raleigh-based bank will give them at least six months to find a new place to operate. She said she would prefer to remain in east Charlotte. A representative for the bank stated that there has been no date set for the company to vacate the property following the business foreclosure. However, the director states that they must leave by the end of the year.
The future is uncertain for the day care center. Many clients were moved to other facilities because of the pending foreclosure. First Citizens Bank has been working with the N.C. Division of Aging and Adult Services in an effort to assist displaced patients. Problems began in 2011 when government funding, including Medicaid funds, was cut. Almost all of the facility’s clients use government assistance to help them meet the cost of providing care. The center, which is 9,300 square feet, is valued at approximately $423,000.
When a business is unable to make ends meet, an attorney may be able to help negotiate or settle debts. It may be possible to establish payment plans or to file for business bankruptcy in order to restructure debts. Filing for bankruptcy is one way that a struggling business may be able to continue operations.
Source: CharlotteObserver.com, “Charlotte adult day care’s future uncertain following foreclosure“, Deon Roberts, December 14, 2013