River Terrace files for Chapter 11 bankruptcy; no change in facility’s operation
July 22, 2014 — By Dave Schultz
River Terrace Estates, the Bluffton retirement community that serves 120 residents, has filed for Chapter 11 bankruptcy to reorganize some $14 million of bond debt that is owed to as many as 1,400 creditors.
The filing will not impact residents at River Terrace Estates nor alter anything in the day-to-day operation of the facility, which is located northwest of Bluffton on Ind. 116.
The case was filed Tuesday with the U.S. Bankruptcy Court for the Northern District of Indiana in Fort Wayne.
Because the case was filed under Chapter 11, RTE will remain in control of its assets as it seeks to restructure.
David Stewart, CEO of River Terrace Estates, and Nichole Melching, executive director of the facility, met with residents and staff Tuesday after the filing. They emphasized in an interview Tuesday afternoon that no residents would have to leave the facility and no employees would be laid off. There are 73 full-time and 77 part-time empoyees who work at River Terrace Estates.
(Full details in the print edition of Wednesday's News-Banner)