The owners of Bankfield Care Home in Sowerby Bridge have confirmed it is to close.
The residential home is owned by Fairhome Care, who work with local authorities and care providers to provide accommodation.
But they say that due to Bankfield not being able to attract enough residents, it will be closed down.
However, they insist this will not happen until all their current residents have been re-homed to appropriate accommodation.
A Fairhome Care spokesman said: “We have taken the extremely difficult decision to close Bankfield as a care home for the elderly. Our priority now is the wellbeing of the residents and we are working with them and their relatives to find suitable alternative accommodation.
“We fully understand the decision creates a number of challenges for people at a difficult time in life and we intend to give as much support as possible. This involves working with the local authority and relatives to find alternative accommodation, which we have already been able to do for several residents. We have told residents and their families that the home will not be closed until everyone has moved to accommodation appropriate for their needs.
“The closure also affects the home’s staff and we intend to minimise the number of redundancies and have offered staff jobs in our other homes.
“We recently bought Bankfield and it is clear it has been struggling to attract residents due to its current condition, difficult location and accessibility issues. At this stage we are reviewing our options for the future of the building.”