Hall & Wilcox advises Fairview Retirement Village on transfer to not-for-profit Whiddon
Hall & Wilcox has advised aged care approved provider and retirement village operator Fairview Care Limited (Fairview) on the transfer of its business and assets to Whiddon, a not-for-profit organisation operating in regional, rural and remote areas of New South Wales and Queensland.
Fairview has been working closely with Whiddon since October when it selected the organisation as preferred partner during the Fairview Board’s due diligence process. The transaction was completed on 3 February 2020.
Fairview had been facing challenges over the last few years as have many approved providers in regional areas. Transferring Fairview's assets to an award-winning not-for-profit aged care organisation in Whiddon was unanimously voted by the board as the best option for Fairview's future.
The transfer was an excellent result for residents and staff of Fairview as well as the Moree community. As Fairview is the only residential aged care facility in Moree, without securing its future by transfer, the Moree community would have had limited options.
Hall & Wilcox acted on the deal, which included M&A, regulatory and property aspects and consideration of the charitable objects of both organisations who are registered as charities with the Australian Charities and Not-for-profits Commission (ACNC).
The sale will guarantee quality aged care in the future beyond what could be delivered as a stand-alone facility
Alison Choy Flannigan, partner who leads the firm’s Health and Community industry group, represented Fairview on the deal, together with a team that included property partner Maurice Doria with support from lawyer Alexandra Armstrong-Millar.
Commenting on the transaction, Alison Choy Flannigan said, ‘I am so glad that we could achieve this great result for both the residents and staff of Fairview and the Moree community. I am sure that there are a number of community boards of aged care approved providers in regional areas who are considering their options, challenged by the new Aged Care Quality Standards, scrutiny arising from the Royal Commission into Aged Care Quality and Safety and shortages of staff.’
According to the Stewart Brown Aged Care Financial Performance Survey (June 2019), excluding the one-off grant, 53.3% of aged care homes recorded a negative Aged Care Home (ACH) Result for FY19 and 74.1% of Rural and Remote aged care homes recorded a negative ACH result. It is important that the elderly are supported to be able to stay close to their family, community and support networks and receive quality care.
As the new owner-operators of the retirement village, Whiddon has expressed its commitment to ensuring the Moree community continues to have access to ‘quality, person-centred care without leaving town’.
Hall & Wilcox’s Health and Community team advises the health, aged care, retirement living, life sciences (pharmaceuticals, medical devices and health and medical research), disability, education and community service sectors.
The firm’s Corporate and Commercial team advises on all aspects of corporate law and regulation affecting public and private companies, private equity firms and management teams. The team’s expertise includes mergers and acquisitions (M&A), joint ventures, shareholders’ arrangements, as well as management buyouts and buy-ins (MBOs/MBIs).
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