Nottingham City Council said it was made aware of issues surrounding residents' well-being at the end of last week.
According the Care Quality Commission website, the residential facility in Herbert Road cared for elderly adults aged over 65.
Specialisms included dementia and diagnostic and screening services.
– Ian Curryer, Nottingham City Council's director of adult social services
We took this action to ensure the safety and well-being of those residents and in response to the owners of the home informing us at short notice that they intended to close the home. Due to serious concerns about the standard of care and the well-being of residents at the home, we suspended our contract with the private provider and put in a team of our own staff to manage the care of the residents over the weekend."