Receiver for Residential Healthcare Facility
Court
Maricopa County Superior Court
Engagement Type
Receivership
This case study highlights Resolute’s role as Receiver for a residential healthcare facility located in north Phoenix, Arizona.
Situation
The 76,962 square-foot, 4-story commercial structure faced significant financial and operational challenges. Property management was poor, with low occupancy and neglected maintenance. The owner of the facility experienced significant shortfall in revenue that ultimately led to events of default. The borrower was unable to satisfy the $10 million loan obligation.
Due to these challenges, residents of the facility were evicted, and a swift intervention was required.
Strategy
Resolute was appointed as Receiver by the court.
Resolute acted swiftly to secure the facility and ensure that all property expenses were managed efficiently to keep the building running. Efforts to locate a suitable buyer were done through Resolute’s strategic marketing efforts.
Initial negotiation led to property entering escrow, but the deal fell through when the prospective buyer failed to approve the purchase. Despite the setback, Resolute persisted in its search for buyers through strong outreach strategies.
Result
Resolute’s efforts yielded promising results. A successful sale of $18 million was completed after identifying a strong buyer for the property. Additionally, the lender, who had been facing the possibility of losing the loan amount, received a 100% recovery.