Eagles Nest Regeneration Returns to VCC to Fund Housing Expansion
A faith-based substance abuse rehabilitation ministry – and long-time VCC client – has had to turn away patients and visiting families due to lack of space. Based in Virginia’s picturesque New River Valley, Eagles News Regeneration is at capacity with 24 men enrolled in the residential treatment program.
Eagles Nest Regeneration was founded in 2006 by William and Tonya Maddox. William “Robbie” Maddox is a former associate pastor who has worked on the front lines of addiction ministry and regeneration service for more than 25 years. His wife, Tonya, supports the ministry with administrative and counseling services.
A year before starting Eagles Nest, Maddox started his own small business, Transformation Painting, which is now one of the region’s largest painting companies. Proceeds from his painting business and a second company, Transformation Grounds, help to pay for the ministry. As part of their rehabilitation program, Eagles Nest residents work in the businesses to gain marketable skills.
The rehabilitation facility delivers a faith-based program covering four areas: orientation, regeneration, inner healing, and discipleship. All residents are men looking to recover from alcohol or drug addiction. The regeneration mission aims to help residents create new perspectives for their new lives to begin – not to go back and start from where they have already been. Eagles Nest also provides intensive outpatient care.
Eagles Nest is licensed by the Virginia Department of Behavioral Health and Developmental Services, as well as national and international faith-based counseling associations.
Solution: Construction loan
With nearly $110,000 in equity, including from the painting and landscaping businesses, Robbie and Tonya Maddox turned to VCC for a loan to construct a pair of five-bedroom houses. In 2017, VCC helped the couple refinance the original purchase of Eagles Nest, as well as minor renovations of the original building.
Building the first two of five planned houses would allow Eagles Nest to stand an expansion plan, with each house accommodating 10 men. Currently, the property includes a 13-bedroom facility, a three-bedroom home, and two barns. Once they build the two new homes, the larger facility will be used for families when they come to visit patients as well as help with patient overflow.
Increased capacity at the rehabilitation center will drive both additional revenues from the painting and landscaping businesses, as well as from private pay, insurance, and Medicaid fees. The revenue – which has increased with long-term contracts – will be applied toward repaying the loan.
Eagles Nest will also begin to receive additional income through training services to expand its model across the country.
In the five years leading up to 2018, the demand for mental health and substance abuse centers drove a 4.2 percent increase in the now $16.2 billion industry. Eagles Nest’s painting and landscaping businesses assist residents in paying for their care. With greater awareness and support for mental illness and addiction therapy, the industry is expected to increase annually by 3.2 percent over the next three years.
More people are looking for therapy options, and Eagles Nest offers an innovative, faith-based approach which helps residents address addiction and prepare for the next phases of their lives. In addition to delivering needed services in a rural area, VCC recognized this expansion would help to support existing jobs and bring new jobs to the region. The expansion also will spark future private investment.