Rivendell Care Homes Ltd. (SC204276): administration
- Status
- Administration ended
- Administration began
- 2013-02-28
- Administrators
- Blair Carnegie Nimmo, Gerard Anthony Friar
- Administrators' firm
- KPMG
- Incorporated
- 2000-02-24
- Location
- Glasgow
- Industry
- 87300 Residential care activities for the elderly and disabled
Why it went into administration
- Regulatory change or action
- Rising costs / inflation
- Cash flow / liquidity pressure
- Sustained trading losses
From the administrators' statement
The Company was incorporated on 24 February 2000 by Caroline and William McDonald and Elizabeth and Patrick Ferris. In August 2000, the Company purchased a C-listed property at Ashburn Gate in Gourock, which was at that time operating as a hotel. The property was subsequently converted into a residential care home, operating under the name “Queens Residential Care Home”.
Carole and Dorothy Johnston (“the Johnstons”) own and operate a residential care home in Enniskillen in Northern Ireland. On 10 November 2010, the Johnstons acquired Rivendell Care Home Limited (“the Company”). The purchase was undertaken by Inverone Care Homes Limited (“Inverone”), a Northern Irish company set up by the Johnstons to acquire the Company. Inverone is wholly owned by the Johnstons, who are also its directors. The purchase was funded by the Johnstons personally and with funding provided by Santander UK ple.
The Home is registered to care for up to 30 elderly residents. At the date of acquisition, the Home had 24 permanent residents together with some respite residents. The number of residents subsequently declined, such that by 28 February 2013 there were only 16 permanent residents. This decline in occupancy is reflected in turnover, with residents fees declining from a peak average of c£53,000 per month in the eight months to March 2011 to an average of £41,000 by February 2013.
Administrators' statement of proposals (2013-04-22) · Companies House register