Midwest Christian Villages, Inc. and its 21 affiliated debtors are in the final wind-down of a structured dismissal of their Chapter 11 cases, after the court entered an order approving dismissal on April 21, 2026 and professional final-fee orders are now closing out the estate (Notice of Hearing and AgendaDkt. 936).
MCV, a faith-based, not-for-profit senior-living operator doing business as Christian Horizons and headquartered in St. Louis, Missouri, filed for Chapter 11 on July 16, 2024 in the Eastern District of Missouri with 21 debtor entities operating 11 communities and roughly 960 employees serving more than 1,000 residents (Voluntary PetitionDkt. 1). The filing followed pandemic-driven declines in resident volumes, persistent staffing shortages and labor-cost inflation, and the debtors' February 2024 decision to stop making principal and interest payments to the bond trustee (First Day DeclarationDkt. 3). At the petition date the capital stack comprised approximately $86.6 million of first-lien debt across seven facilities — four series of tax-exempt revenue bonds administered by UMB Bank, N.A. under a 2007 Master Trust Indenture, two HUD-insured ORIX mortgages, and a small Illinois Housing Development Authority loan — with no subordinated layer (First Day DeclarationDkt. 3).
Rather than confirm a plan, the debtors ran a section 363 sale process, divesting communities — including the Crown Point, Indiana campus — to third-party operators and completing the final phase of sales by mid-2025, while a Healthcare Management Partners team led by Chief Restructuring Officer Shawn O'Conner oversaw operations and wind-down. The cases were funded throughout through a combined DIP and cash-collateral facility that the court approved over objections from Lument Real Estate Capital and the United States, and that was later amended to extend maturity and add wind-down borrowings.
The cases are now concluding through structured dismissal. On June 17, 2026 the court heard the motion for a final dismissal order together with the final fee applications of the debtor and committee professionals (Notice of Hearing and AgendaDkt. 936); final fee orders for Dentons US LLP and financial advisor B.C. Ziegler & Company, among others, have since been entered (Order Approving Final Fee Application of Dentons US LLPDkt. 941, Order Approving Final Fee Application of B.C. ZieglerDkt. 942). Remaining wind-down activity — claims review, resident refunds, and coordination with UMB Bank on distribution timing — continues to be administered by Healthcare Management Partners under the dismissal framework (Final Monthly Compensation Report of Healthcare Management PartnersDkt. 935).
