Many parents in the Duluth area are struggling to find reliable childcare, and the recent closure of the Building Blocks Learning Center has added to their challenges. Some parents are pointing fingers at the owners, blaming poor financial management for the center’s troubles. Building Blocks Learning Center was evicted twice for not paying rent, and its closure has left families scrambling to find alternatives. Here’s a detailed breakdown of the situation.

First Eviction: Financial Troubles Begin

In 2019, Building Blocks Learning Center rented a space on Haines Road in Duluth from BellaGrace Properties. The lease required monthly payments of $9,000, but the center quickly fell behind on rent. In 2020, they signed a rent modification agreement to lower payments temporarily, but the financial problems persisted.

By 2021, the center owed BellaGrace over $57,000 and agreed to pay this through a legal confession of judgment. When they failed to meet the terms of this agreement, the lease was terminated, and they vacated the property by September 2023. BellaGrace claims the center left the space damaged, with costs totaling $70,058.90.

The owners, Lucas and Holly Petrich, disputed these claims, stating the eviction was motivated by BellaGrace wanting to rent the space to another tenant.

Second Eviction: A New Lease, Same Challenges in Duluth

In July 2023, Building Blocks began renting a new space on the lower level of Duluth Vineyard Church for $4,500 per month. However, by May 2024, they were behind on rent again, owing over $12,000. Despite Vineyard offering a payment plan, the center failed to catch up in time, leading to another eviction notice.

Church officials worked with the center to find a solution but ultimately filed an eviction complaint in September 2024. Signs were posted to notify parents and staff about the closure. Many parents were upset, saying they were given less than two weeks’ notice to find new childcare arrangements.

Parents Speak Out: Concerns Over Transparency

Some parents, speaking anonymously, expressed frustration with the lack of communication from the center’s owners. Rumors of financial issues had circulated, prompting some families to begin searching for other childcare options earlier.

One Duluth parent questioned how the center could struggle financially when parents were paying nearly $1,000 a month for childcare. They calculated that teacher wages and tuition fees didn’t seem to align, leaving them to wonder where the money went.

Future Plans for Building Blocks

Despite these setbacks, Lucas and Holly Petrich remain determined to reopen the center. They are exploring options to rent a new facility, including working with a developer to design a financially sustainable space. Their childcare license is currently set to “pending reopen” status, allowing them to resume operations once a new location is secured.

“This is a big lesson for us,” said Lucas Petrich. “We’re working on a clean slate to design a center that works better financially for everyone involved.”

A Call for Childcare Funding

The Petrichs emphasize that their struggles reflect broader issues in the childcare industry, which they argue need more public funding. Lucas urged community members to vote for leaders who prioritize childcare funding, calling it essential to prevent more closures statewide.

“We had to make impossible decisions between paying our dedicated staff or our rent,” said Petrich. “This shouldn’t happen. The business model for childcare is broken.”

A Heartfelt Goodbye and Hope for the Future

In a letter to parents, the Petrichs expressed their heartbreak over the closure. They reassured families that Building Blocks intends to reopen in a better space, retaining its high Parent Aware Rating and continuing to serve the community.

“While this has been devastating, we’re working toward a comeback,” said Petrich. “We deeply care about the families, children, and teachers who have been part of our journey.”

As Duluth families search for alternative childcare, the challenges faced by Building Blocks highlight the ongoing need for systemic changes in the childcare industry.