Orchard Care Homes chief executive Paul Mancey has stepped down from his post, HealthInvestor UK can reveal.

The company’s chief operating officer, Tom Brookes, has meanwhile taken on the role interim chief executive.

A spokesperson for Orchard Care Homes said that Mancey “felt it was time for a fresh challenge” and that the “board would like to thank Paul for his hard work over the last 12 years and wish him well in his future endeavours”.

The move comes as Orchard Care Homes hands back the management contract for the 20 Lifestyle Care homes it manages.

Previously part of the Southern Cross portfolio before returning to the control of founder Ramesh Sachdev, the homes went into administration in February 2015. Later that year, the administrators, Deloitte, handed the homes over to Orchard Care Homes.

The portfolio’s debt has since changed hands with former major lender Aviva selling it as part of a larger bundle of non-performing loans to Lone Star in a £2.3 billion deal.

Last year, HealthInvestor UK reported that the homes were put up for sale. 

Orchard Care Homes’ spokesperson said: “Lifestyle Care in partnership with Orchard Care Homes was set up as a short -term management contract in September 2015, of approximately 20 homes. Orchard agreed an initial extension of the management contract in 2016, but the homes are now being migrated to new tenants as planned. It is Orchard Care Homes’ long-term vision to expand and to be owner/manager of its homes.”

Owned by private equity firm Alchemy Partners, Orchard operates care homes across England and Wales.