New York City—New York Attorney General Eric T. Schneiderman announced a settlement with the healthcare and nursing company, the Allure Group, for its controversial closures and sales of two nursing homes. Allure had purchased and sold the Rivington House, a Lower East Side nursing home for AIDS patients, and the CABS Nursing Home in Brooklyn to luxury condominium developers. Both were closed absent ample community notice.

The settlement requires Allure to make major improvements to the Greater Harlem Nursing Home, a 200-bed critical facility on West 130th Street in Manhattan. It imposes a restriction on the future sale or closing of the home as a skilled nursing facility for at least nine years. Allure Group was managing the Greater Harlem Nursing Home as a receiver, during the closure of the other facilities.

Allure is also mandated to create a Lower East Side healthcare facility at a new location to make up for the healthcare gaps caused by the closing of Rivington House. The healthcare group is required to fully fund a new skilled nursing facility or other healthcare facility providing long-term care to the elderly or the disabled, with a restriction on the future sale or closure of the facility for a minimum of eight years. As part of the settlement,

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Betsy Kim

Betsy Kim was the bureau chief, East Coast, and New York City reporter for Real Estate Forum and GlobeSt.com. As a lawyer and journalist, Betsy has worked as the director of editorial and content for LexisNexis Lawyers.com, a TV/multi-media journalist for NBC and CBS affiliated TV stations in the Midwest, and an associate producer at Court TV.