The Cold Spring Hills Nursing & Rehabilitation Center reversed course on Tuesday, May 4, filing to remain open after reaching an agreement between a proposed buyer and the labor union representing most of the facility’s employees.
The state had just days before approved a closure plan requested by Cold Spring Hills Nursing to close by May 15.
In a letter to the bankruptcy court filed by Schyuler Carroll, an attorney representing Cold Spring Hills LLC, said the Woodbury facility’s proposed buyer, Eliezer Jay Zelman and 1199SEIU United Healthcare Workers East, which represents many of the center’s employees, had come to an agreement.
The Woodbury facility’s need for a closure plan reportedly stemmed from a disagreement between Zelman and the union.
In Carroll’s letter, he said an agreement was reached, and Zelman “wants to obtain immediate approval so that it can immediately start the receivership.”
Carroll said the facility had already moved out 77 residents to other facilities and laid off approximately 150 employees.
The state said the motions filed from the bankruptcy court pend review from the state and will not be acted on until the center’s next court appearance, scheduled for March 10 or later.
Efforts to reach nursing center representatives were unavailing.
As of Feb. 26, the facility had about 600 beds and housed over 300 residents. According to the Medicare website, Cold Spring Hills’ resident population is well above the state average, which is about 163.
The nursing home initially filed for bankruptcy on Jan. 2 after receiving a temporary restraining order from the state in December. Zelman, who was affiliated with three other nursing homes, was approved by the state health department to act as a temporary receiver.
Zelman was reportedly looking to buy the facility for $10 but would not move forward with the deal until he received a modified agreement with the labor union.
