A Delaware bankruptcy judge has allowed American Eagle Delaware Holding Co. to strike a deal with the second-place bidder for its Vista Lake assisted living and memory care community in Leesburg, FL, to close the sale and move toward the end of its Chapter 11 case.
Eagle initiated a voluntary Chapter 11 process in January in a move designed to strengthen its financial structure and provide flexibility to make capital improvements. The Wilmington, DE-based company operates independent living, assisted living and memory care communities in Alabama, Colorado, Florida, Minnesota, Ohio, Tennessee and Wisconsin.
Parent company American Eagle Lifecare Corp. and management company Greenbrier Senior Living were not included in the filing.
In February, Atlantis Senior Living was among the bidders for Vista Lake, according to court records. In addition to Atlantis, the company received qualified bids for Vista Lakes from Illuminate HC and Gold Standard of Care by the bid deadline.
Illuminate intially won the bid to purchase the property for $7.1 million. As of July 1, however, the company had defaulted on the terms of the sale, according to American Eagle Delaware Holding Co. The court agreed and allowed the company to follow up with second-place bidder Atlantis at a $4 million purchase price.
