Diocese of Norwich sets bid procedures for school property

By Sarah Lizee

Olympia, Wash., April 5 – Norwich Roman Catholic Diocesan Corp., known as the Roman Catholic Diocese of Norwich, is seeking approval of bid procedures for 113 acres of land in Montville, Conn., according to a motion filed Wednesday with the U.S. Bankruptcy Court for the District of Connecticut.

The diocese leases the property to St. Bernard’s School of Montville, Inc.

The diocese is seeking to sell the property at auction in connection with its plan of reorganization to help create a pool of cash to fund a trust that will make distributions to individuals who have asserted abuse claims against the diocese.

Prior to filing the motion, the diocese engaged in negotiations with two potential purchasers, Thames River Acquisition, LLC and Saints Country, LLC, regarding the terms and conditions of written sale agreements and a new written lease with the school.

Both Thames Rivers’ and Saints Country’s letters of intent provide for a purchase price of $6 million.

The diocese said that after consultation with the official committee of unsecured creditors, it decided to file the bid procedures motion.

Under the proposed bid procedures, bids for the property would be due by 4 p.m. ET on May 1, an auction would be held on May 5, and a sale hearing would take place the week of May 8.

The Norwich, Conn.-based diocese filed bankruptcy on July 15, 2021 under Chapter 11 case number 21-20687.

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