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About Eugene weekly. (Eugene, Oregon) 1993-current | View Entire Issue (Aug. 21, 2025)
Bricks $ Mortar THE VACANT INSPIRED HEALTHCARE FACILITY IN CRESWELL. Photo by Eve Weston The many fi nancial claims against the project have not been previously reported. Nor has the shuttering of the Roseburg construction project. FLURRY OF CLAIMS MEMORY LOSS Developer halts work on Creswell senior-care complex as contractors clamor for payment BY CHRISTIAN WIHTOL C onstruction companies and their workers say an Arizona-based developer has stiff ed them nearly $1.5 million for their work build- ing an elder-care complex in Creswell that sits unfi nished and deserted. Flagstaff, Arizona-based Inspired Healthcare Capital had been promising this year to open its two-building 48-unit assisted living and memory care center on Emerald Parkway on the east side of Interstate 5. But the glass doors are now taped over with cardboard. The interior is barren and unfi nished, littered with copper and plastic piping, and boxes of joint compound and wire. Pallets of antibacterial soap and construction materials sit outside. It’s unclear when or if the place will open. Eight construction companies and dozens of workers have fi led lien claims saying they are owed nearly $1.5 million for their work. One contractor, an elec- trical company, has sued in Lane County Circuit Court seeking payment. Inspired Healthcare’s other Oregon project, constructing a 48-bed assisted living and memory care complex south of Roseburg, has also stalled and is unfi n- ished. Roseburg landscaper Patrick O’Con- nor has fi led a lien seeking more than $80,000 for his work on the Creswell site this summer. Early on in the job he sensed trouble, he says. “There were red fl ags all over the place,” including Inspired Healthcare being slow to pay and management caring little about the work being done, O’Con- nor says. “It’s disheartening,” he says. Contrac- tors “are out a tremendous amount of money.” O’Connor says he did some land- scaping at the Roseburg site, but quickly halted work there when payments ceased. WEALTHY INVESTORS Inspired Healthcare, with roughly three dozen senior complexes around the country, faces fi nancial shortfalls and is under investigation by the federal Securities & Exchange Commission, according to recent announcements by law fi rms that are scrutinizing the company. Eugene Weekly was unable to reach Inspired Healthcare for comment. Nationwide, developers eager to cash in on the demand for senior-care facili- ties may have over-built, recent industry reports suggest. Founded in 2016, Inspired Health- care is a private-equity company, raising money from wealthy investors to build, buy or remodel elder-care complexes. The company promises high returns but provides scant fi nancial disclosure to investors, the law fi rms say. Each Inspired Healthcare complex is a separate legal entity. The Creswell project, which cost upward of an esti- mated $17 million, is owned by Inspired Senior Living of Creswell Development LLC. It was supposed to be managed by the Volante branch of Inspired Health- care, but Inspired Healthcare recently shut down that arm, the law fi rms say. News that the Creswell project had failed to open was fi rst reported by The Chronicle newspaper. Those harmed in the Creswell proj- ect include dozens of electricians owed a total of $137,000 in pension and other fringe benefi t contributions for work they performed this year and last, according to the lien fi led by four worker pension plans against the development. The biggest claimant thus far is Mars Construction of Roseburg, which says it is due $521,000 on $2 million worth of work it performed. Seattle-based North Coast Electric Co. says it is owed $269,254, much of it for work dating to 2024. North Coast sued in Lane County Circuit Court last month seeking payment, including, if necessary, through a foreclosure sale of the Creswell complex. Inspired Healthcare has not yet responded to the lawsuit. Landscaper O’Connor’s claim shows he was paid $76,000, but is still owed $82,219 for plants, mulch, other mate- rials, labor and equipment rental. He installed an irrigation system for the extensive landscaping, but says he’s not sure the owner has turned it on. Blackberry bushes, grass and weeds are already popping up through the mulch. The liens on the Creswell property have all been fi led in the last several months. When a property owner fails to pay a building contractor, the contractor’s fi rst step is to fi le a lien against the property with the county clerk’s offi ce. After a set amount of time, and if the property owner still hasn’t paid up, the contractor can sue and seek remedies, including fore- closure sale of the property — although such sales are rare. “We don’t know what’s going to happen. There are so many claims,” O’Connor says. LOOKING FOR INVESTORS Law fi rms nationwide are publicly soliciting people who invested with Inspired Healthcare and now want their money back. Inspired Healthcare recently stopped making payments to investors and is seeking new funding, the law fi rms say. Inspired Healthcare used the Securi- ties & Exchange Commission Regulation D method to raise money from wealthy and supposedly sophisticated investors, the law fi rms say. “These [Regulation D] off erings come with limited SEC reporting, minimal liquidity, and reduced investor protec- tions compared to public securities,” says the website of Bakhtiari & Harrison, a Los Angeles law fi rm seeking to represent unhappy Inspired Healthcare investors. “Only about 10 to 15 of [Inspired Healthcare’s] 35 senior-living commu- nities are reported to remain fi nancially viable — a troubling performance rate that suggests widespread risk to inves- tors,” the law fi rm warns. LAND PURCHASES An arm of Inspired Healthcare bought the Creswell land in 2021 for $983,168, according to the deed. There are no public records showing how Inspired Health- care funded the property purchase or the construction work. The exteriors of the two Creswell buildings are fi nished, including paint- ing. But the interiors remain incomplete. The bedrooms and common areas lack any furniture. Cabinets sit wrapped in their delivery coverings. Stray tools and materials are evidence of workers quickly walking off the job. The project abuts a busy small- and large-animal veteri- nary clinic. In 2021, an arm of Inspired Health- care bought the Douglas County land, off Interstate 5 south of Roseburg, for $750,000, the deed shows. Construction at the Roseburg prop- erty is less advanced than at the Creswell location. The worksite is deserted and the buildings have been surrounded tightly with security fencing. The Cali- fornia-based construction manager that Inspired Healthcare hired to oversee the Roseburg and Creswell projects has fi led liens claiming it is owed $106,000 on the Roseburg job and $36,000 on the Creswell job. Bricks $ Mortar is a column anchored by Christian Wihtol, who worked as an editor and writer at The Register-Guard in Eugene 1990- 2018, much of the time focused on real estate, economic development and business. Reach him at Christian@EugeneWeekly.com. HannahSellsHomes.com Top 5% organic & Non-GMO Feed (regular too!) in Lane County Real Estate Sales For Poultry, Rabbits, Goats *special order for others* Veggies, Herbs, & Flowers Compost & Soil Amendments Locally Crafted Warre Hives Hay & Organic Straw Tools, Books, Friendly Advice 5th & WASHINGTON Mon-Sat 10-6 (541) 485-3276 EUGENEBACKYARDFARMER.COM 6 August 21, 2025 ICON Real Estate 541-543-9345 support.eugeneweekly.com