Purchaser looked for South Lanarkshire retirement village after proprietor enters administration

The proprietor of a retirement advanced in South Lanarkshire has plunged into administration.

Auchlochan Garden Village sits inside 50 acres of floor and is dwelling to 360 residents throughout a variety of properties.

Facilities embody eating places and cafes, woodland and a lake, a group centre, hairdressing salon, laundry and chaplaincy.

The total web site, close to Lesmahagow, is accessible by wheelchair and a village bus service runs each day to native outlets or additional afield for excursions.

It is known that there will likely be no redundancies among the many 216 employees at this stage.

The advanced was stated to have been making a loss since 2009, when it was acquired by MHA Auchlochan.

Methodist Homes – MHA Auchlochan’s mum or dad affiliation – has been offering “significant financial support” however losses have continued to accrue as a result of “uneconomic service charges, staff and maintenance costs and low occupancy levels”.

Sam Monaghan, MHA chief government, stated: “This is not a decision we have taken lightly and to support the continuation of services during the process of administration, Auchlochan will be able to draw on a contingency fund of £5m from MHA.

“This will present one of the best alternative for brand spanking new operators to be discovered, which incorporates the potential for leaseholders to arrange their very own administration firm.”

Mr Monaghan stated a evaluate of providers had prompted the charity to withdraw from its retirement residing schemes at Wesley Court in Granton, Edinburgh; Taransay Court in Milton, West Dunbartonshire; and St Andrew’s Court in East Kilbride, South Lanarkshire.

Mr Monaghan stated: “The schemes would be difficult to support without the larger infrastructure which Auchlochan gives us in Scotland.

“Together, these modifications imply that MHA will now not have any providers in Scotland.”

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Insolvency practitioners Blair Milne, James Fennessey and Robert Young, of accountancy agency Azets, have been appointed joint directors of MHA Auchlochan.

They will proceed to function the retirement village and care properties, and can appoint property brokers to market the belongings on the market.

Healthcare Management Solutions Limited has been appointed within the interim to supervise the day-to day-operations and “minimise the impact on residents, families, staff and suppliers”.

Mr Milne stated: “Due to the scale and complexity of the development it will take time to develop a strategy for the administration.

“In the meantime, it can stay ‘enterprise as regular’ and we are going to work carefully with the Care Inspectorate, South Lanarkshire Health and Social Care Partnership and specialist companies to help residents and their households in the course of the course of.”

Professor Soumen Sengupta, director of health and social care for South Lanarkshire, said his team had met with the administrators.

He added: “We will proceed to stress to the directors the significance of them partaking with residents and their households appropriately, to hearken to their considerations and reply to their anxieties.

“We will also work closely with the Care Inspectorate to engage with the administrators throughout what we appreciate will be an unsettling period for all involved.”