Zenith to Invest an Additional $2.5M to Further Improve Quality of Care
BALLSTON SPA – The Maplewood Manor Local Development Corporation (LDC) Board of Directors unanimously approved the selection of Zenith Care Health Group to purchase Maplewood Manor.
Zenith was selected from a group of seven qualified applicants after an evaluation process that focused on the quality of care that residents will receive, the financial stability of the buyer and the buyer’s future plans for the facility, including their willingness to make major investments in improving care.
The offers received from the seven applicants ranged from the minimum bid price of $11 million to a high bid of $14.57 million.
Zenith will purchase the facility for $14.1 million, and has also committed to investing an additional $2.5 million in capital improvements within 18 months of taking ownership.
Zenith has agreed to continue to care for every resident of Maplewood Manor, will look first to hire existing employees and will negotiate cost-effective contracts with local vendors when practicable.
“With today’s announcement, the LDC has kept its promise to find the best possible operator for Maplewood Manor,” said LDC Chairman Mo Wright. “As we stressed since day one, there is a lot more at stake than just the purchase price. We made sure that Maplewood’s new owner has a track record of success, a commitment to the residents, and a solid plan to provide excellent care well into the future.”
“Transitioning Maplewood Manor from a financially insecure publicly-owned facility that the County cannot afford, to a financially sustainable privately-owned facility, will make Maplewood’s future and the County’s more secure,” said LDC Chief Executive Officer Spencer Hellwig. “Zenith has the resources necessary to invest in improvements that will revitalize Maplewood Manor financially. At the same time, the County will receive a substantial sale revenue, property taxpayers will no longer have to subsidize the facility’s $15 million annual deficit, and the property will go back on the tax rolls, generating more than $460,000 per year in revenue for the County, the Ballston Spa school district, and the Village of Ballston Spa.”
Ari Schwartz, who will serve as CEO of Maplewood Manor, announced that he will immediately meet with Maplewood management personnel to introduce Zenith and learn more about resident, staff and community needs.
With the purchase and sale agreement having been signed, the next step is for Zenith to obtain licensure to operate the facility from the State Department of Health (DOH).
When the DOH review process is complete, the County will turn over operations to Zenith, whose principals will have the benefit of having served Maplewood residents in this capacity during these six to 18 months.
