BENNINGTON — Allaire Health Services has purchased the Centers for Living and Rehabilitation and about 5.5 acres on the Southwestern Vermont Health Care campus for just under $4.2 million.
The small nursing facility group, with homes in New Jersey and Pennsylvania, will operate the 130-bed Bennington facility, and SVHC will retain a partial, minority ownership.
“Allaire Health is excited to finalize our partnership with SVHC and expand into New England,” said Benjamin Kurland, the company’s chief executive officer. “We are committed to improving the quality of the lives of our patients and residents, and look forward to managing the Centers for Living and Rehabilitation.”
SVHC President and CEO Thomas Dee said the local care organization “is dedicated to providing the highest quality care and patient comfort, and we are especially pleased to have a partner in Allaire Health committed to the same mission. Allaire will continue to collaborate with our region’s providers, so the residents and families of CLR will receive the same services that they are accustomed to.”
Allaire Health has been recognized for managing high-quality nursing homes and rehabilitation facilities, including in the delivery of neuro-care, geri-psych and respite care, according to a media release from SVHC.
The sale closing date was June 1, and the price listed in town clerk records is $4,169,200.
Under terms of deed restrictions dating to the establishment of Putnam Memorial Hospital (now Southwestern Vermont Medical Center), which opened in 1918, the town Select Board also had to approve the sale.
The town does not, however, have a financial interest in the transaction.
“Proceeds of the sale will go to the health system to continue to provide the highest quality care to the residents of our service area,” the media release stated.
The deed of trust restrictions essentially require the new owner to use the property only for “the delivery of health care services to benefit the community.”
The proposed sale was announced in March 2020.
Dee said at the time that SVHC trustees and management considered the sale in light of changes in the nursing home industry, in which owners are dealing with lower insurance reimbursement levels, difficulties in attracting and keeping employees and other issues. He said the idea of forming a partnership was approved by the board as part of a long-range strategic plan. There was a review of potential partners, Dee said, and the board approved negotiations with Allaire.
The group is relatively small within the nursing home industry, he said, but has a good reputation for managing facilities and for providing both typical nursing home services and more specialized services. Dee has said Allaire Health began working as a consultant to the nursing facility shortly after the proposed sale was announced to ensure a smooth transition. The Centers for Living and Rehabilitation was originally called the Weston Hadden Convalescent Center and opened in December 1985. It had 100 beds at that time and the project cost $2.6 million. An expansion project added beds during the early 1990s.