Inspired Healthcare Capital, LLC and its affiliates have entered bankruptcy proceedings. The decision follows changes in corporate governance and leadership structure of the senior housing private equity firm, which took place in October 2025. As of now, the firm has secured a commitment for $35 million in debtor-in-possession (DIP) financing.
Inspired Healthcare Capital, LLC and its Affiliates File for Chapter 11
PACER records shows that Inspired Healthcare Capital, LLC submitted a voluntary Chapter 11 petition in the U.S. Bankruptcy Court for the Northern District of Texas. The February 2 filing also includes 160 affiliated entities.
According to PR Newswire, the company said the filing will allow it to prioritize resident care while maximizing value for stakeholders by deleveraging the balance sheet and facilitating a marketing and sale process. All of these would further allow Inspired Healthcare Capital, LLC to implement a thorough restructuring transaction.
M. Benjamin Jones, the company’s Chief Restructuring Officer, said the filing was driven by ongoing liquidity challenges. “Over the past several years, Inspired Healthcare Capital faced significant liquidity challenges and became reliant on raising additional capital,” Jones said.
He added that these challenges at the senior housing private equity firm were escalated by “recent regulatory inquiries and subsequent threatened litigation.”
What the Chapter 11 Process Aims to Achieve
The Chapter 11 process is aimed at maintaining quality housing and continued care for residents. In addition, the firm is hoping to access funding for the implementation of sale/restructuring transactions that deliver maximized value of its assets for all stakeholders.
The restructuring also seeks to address existing legal claims through a court-approved process.
During the Chapter 11 restructuring, the senior housing private equity firm will continue operations by working closely with vendors, residents, investors, and secured creditors. Residents in the senior community will keep receiving amenities and services as usual.
To support ongoing operations during the marketing and sale process, the company secured a $35 million DIP financing commitment from Lapis Municipal Opportunities Fund V, LP. Once approved, the amount would enable Inspired Healthcare Capital, LLC to fulfill obligations relating to employees, partners, and vendors.
Company Background
Inspired Healthcare Capital operates as a private equity firm that invests in and manages senior housing communities. The firm currently oversees housing for approximately 2,620 residents nationwide.
Inspired Healthcare Capital’s existing operations cover 35 senior living facilities spread across 14 states. This includes independent living units, memory care units, and assisted living units.
The firm also forms and manages fund entities with a focus on delivering long-term value to its investors, while also considering the well-being and care of residents.
Significant Leadership Changes Precede Bankruptcy
The Chapter 11 filing follows significant changes to the company’s leadership and governance structure. In October 2025, the senior housing private equity firm replaced its senior leadership team with independent managers.
The company appointed CRS Capstone Partners, LLC as an independent manager and the director of IHC and IHC Holdings. Other than this, Trinity River Associates, LLC was selected as the independent manager and director of the controlling entities of the Delaware Statutory Trusts.
M. Benjamin Jones of Ankura Consulting Group was selected as the Chief Restructuring Officer to manage the operations of the senior housing private equity firm through the latest Chapter 11 process. The current leadership team at Inspired Healthcare Capital, LLC, will work alongside him in the process.
Case Related Details
M. Benjamin Jones signed the Chapter 11 petition before it was submitted to the court. Attorney Marcus A. Helt of McDermott Will & Schulte LLP is representing the company in the case.
Filing details show that McDermott Will & Schulte is the legal counsel advising Inspired Healthcare Capital, LLC. Raymond James & Associates, Inc. is the investment banker, and Ankura Consulting Group is the restructuring advisor in the case.
Additional details in the Chapter 11 process are:
- Filing Date: February 2, 2026
- Court and Jurisdiction: U.S. Bankruptcy Court for the Northern District of Texas
- Type of Filing: Active, Voluntary Petition
- Chapter: 11
- Case Number: 26-90007-mxm11
- Estimated Assets: $1,000,000,001-$10 billion
- Estimated Liabilities: $1,000,000,001-$10 billion
- Reason for Filing: Restructure business under court supervision
As of now, Inspired Healthcare Capital, LLC owes between 10,001 and 25,000 creditors in total. Filing records show that funds will be available for distribution to unsecured creditors.
Inspired Healthcare Capital, LLC submitted an omnibus written consent of the managers, managing members, trustees, general partners, or other similar governing body, as applicable.
The company also submitted standard financial schedules, creditor lists, and ownership disclosures as part of the filing.
The company then submitted a consolidated list of equity security holders and a corporate ownership statement pursuant to the rules 1007(a)(1), 1007(a)(3), and 7007.1 of the Federal Rules of Bankruptcy.
The Chapter 11 filing marks a turning point for Inspired Healthcare Capital, LLC, as it gets through liquidity challenges and regulatory pressures. The court-supervised process will determine the company’s next steps as it works to stabilize operations and explore a potential sale.
