36 Harborside residents would have 5 weeks to find a new home, records show
Harborside residents held a rally in October to call attention to a bankruptcy filing that imperils their homes and life savings. Credit: Newsday/Howard Schnapp
Thirty-six seniors in The Harborside’s assisted-living apartments, nursing home and dementia care unit would have five weeks to find a new home under a closure plan, according to court documents.
The seniors, many of whom are in their 90s and in ill health, must relocate because the sole bidder for the retirement community in Port Washington would initially offer only independent-living apartments once the sale is completed, according to documents filed in U.S. Bankruptcy Court in Central Islip on Wednesday night.
The seniors would have until March 14 to find a new residence.
The relocation would likely require some couples to live in separate facilities because few senior organizations on Long Island offer a full range of care under one roof, based on a Newsday review of state records. The Harborside’s setup permits one spouse to live independently in an apartment and only a short walk from their spouse who requires skilled nursing, two couples said recently.
In addition, the affected seniors may have cash restraints, based on Newsday interviews. Most sold their homes to pay The Harborside's entrance fee, which was between $527,250 and $2.2 million under one type of sales contract offered in 2021. The facility owes $130 million in entrance-fee refunds, and so far the sale agreement doesn't include money to pay the refunds, according to a court filing last week.
Under the closure plan, each senior and their family would be provided with “at least three appropriate placement options” within a 10-mile radius of The Harborside’s 300 East Overlook address. They also would be given information about health insurance eligibility, community-based care programs and governmental contacts in Nassau and Suffolk counties, Wednesday's court filing shows.
"Based upon information and belief, substantially all of the Health Center residents have made arrangements to relocate to alternate providers," The Harborside's attorneys wrote in the filing.
The Harborside’s management has been in frequent contact with regulators at the state Department of Health and made changes to the closure plan based on feedback from regulators, the filing states.
Harborside CEO Brooke Navarre didn't respond to a request for comment on Thursday.
A DOH spokesperson said, "The health and safety of residents in skilled nursing and assisted living facilities remains a top priority [of the department] ... All closures must meet state requirements, ensuring residents and families have the necessary information to make informed decisions."
The spokesperson added that "it will be the responsibility of The Harborside to ensure residents are placed in a safe and secure facility."
Last month, Gov. Kathy Hochul reaffirmed her commitment that no Harborside resident would be left homeless because of the $80 million sale to Focus Healthcare Partners LLC, a Chicago-based investment group.
“We had high hopes of a new owner coming in to stabilize the situation, but I want to make sure everyone has a place to be taken care of — full stop,” Hochul said, responding to a Newsday question.
The closure plan must be approved by DOH and by U.S. Bankruptcy Court Judge Alan S. Trust. The latter has scheduled a Wednesday hearing to consider the plan and the overall sale of The Harborside, which has declared bankruptcy three times in 10 years.
Focus Healthcare would end for a time The Harborside’s ability to offer multiple levels of care and won't assume control of the property as long as the care units are occupied. Focus executives have said they eventually plan to seek state licenses to resume offering assisted-living apartments and dementia care.
Focus, through a spokesperson, declined to comment Thursday.
The Harborside now has 26 assisted-living apartments, a 56-bed nursing home and 18 dementia care units, records show. Including the independent-living apartments, the facility had about 180 residents last fall.
The closure plan is contingent on The Harborside receiving additional funds from its bondholders, according to the documents.
James T. Madore writes about Long Island business news including the economy, development, and the relationship between government and business. He previously served as Albany bureau chief.
