Love-A-Child Shelter for Needy Children and Women Avoids Foreclosure

by San Antonio Attorney

A recovery shelter providing aid for the homeless people was on the verge of foreclosure due to financial problems.  Fortunately, a new investor saved the institution from bankruptcy.  Considered as an ‘angel investor’, the shelter will maintain its operations for the foreseeable future.

Since Nehemiah Community Reinvestment Fund refused to grant extensions on an outstanding loan, the shelter is facing financial difficulties.  However, Love-A-Child shelter cited another source of finance that has made Nehemiah whole, according to Yves Mombeleur.

Mombeleur, the managing director of lending and capital investments, said that Nehemiah Community Reinvestment Fund is no longer bound to Love-A-Child transaction.

Jerome Knott, the director of Willow Pass Road shelter, a nonprofit organization connected to Nehemiah Community Investment Fund, could not be reached for a comment.

Last 2008, Nehemiah approved Love-A-Child’s loan worth $360,000.  This loan was scheduled to be paid fully in 2013.  However, the shelter defaulted on a balloon payment that was never paid.

Love-A-Child has been plagued with other financial troubles such as a $97,500 worth of county tax and liens from the State Employment Development Department.  These liens have remained outstanding, according to a recent inspection visit.

Lavonna Martin, the head of homeless services said that they have been striving to maintain operations of the shelter and its other 15 branches.

Residents of the shelter have been given alternative places to stay.  However, it is difficult to find another place especially for those who have been recovering substance abuse and victims of domestic violence.  Love-A-Child shelter is the only place that possesses the right size and facilities in the county.

Last Wednesday, Glover said that the county wanted to intervene and even proposed to work hand in hand with Nehemiah, if the nonprofit fund was not paid back.

Glover added that they already had a plan but it was no longer necessary to execute it.

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