Sale of Carmel senior community a big win for residents owed millions

Written by John Russell
See original article: ibj.com

Hundreds of residents at The Barrington of Carmel retirement community can breathe a sigh of relief.

The complex, which slid into bankruptcy in January after defaulting on its bonds, is getting a new owner that is promising to honor their contracts and pay them $52 million in refundable entrance fees.

The residents had paid six-figure deposits before moving in but were listed in the bankruptcy filing as unsecured creditors, meaning they were in danger of losing their money.

The Barrington, which began hemorrhaging money soon after opening in 2013, is being acquired by Indianapolis-based Prairie Landing Community Inc. for $61 million. A bankruptcy judge in Texas approved the sale on July 24. It is expected to close in August, said CEO John Dattilo.

Read more here.