East Huntingdon facility among bankrupt nursing homes scheduled for auction
A 35-bed nursing home in East Huntingdon is among six facilities in Western Pennsylvania targeted for sale this year.
A public auction will be held in September to transfer ownership of Scottdale Healthcare & Rehabilitation Center in East Huntingdon, a closed facility in Jefferson Hills, the 67-bed Beaver Healthcare and Rehabilitation Center in Aliquippa and other nursing homes in Clearfield, Jefferson and McKean counties.
The nursing homes were owned by Bonamour Health Group, based in Clairton, and were put into a court-ordered receivership last year after the company filed for protection under U.S. bankruptcy laws. According to court records, Bonamour defaulted on a $30.5 million loan it secured in 2022.
A sales deal was brokered with New Jersey-based 980 Investments and Heart Healthcare Management of New York to serve as a preferred bidder for the facilities with a minimum purchase price of $37.4 million for all six nursing homes and their assets, according to court records.
Additional bids will be sought at September’s auction.
In a court filing in the spring, the receiver said new owners will appoint operators to run the five remaining nursing homes that remain open. The vacated Jefferson Hills Healthcare and Rehabilitation Center, shuttered in March 2024, will be sold as-is with no commitment that it will be reopened, according to court records.
A federal lawsuit filed last year claimed Bonamour did not have the money to continue operating the facilities and suggested the state Department of Health could shutter the nursing homes because of continuing violations. The health department last year issued five statements of deficiencies against three of the nursing homes, including one against Scottdale Healthcare and Rehabilitation Center.
Bonamour’s five remaining nursing homes have been operated for the past year by management companies hired by the court receiver.
A spokesman said the health department will review the licensing of the facilities.
Rich Cholodofsky is a TribLive reporter covering Westmoreland County government, politics and courts. He can be reached at rcholodofsky@triblive.com.
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