Presence Health finds buyers for hospital, other facilities
Presence Health has signed a letter of intent to sell Our Lady of the Resurrection Medical Center in Chicago to Community First Healthcare of Illinois.
Presence, a Chicago-based hospital network and the largest Catholic hospital chain in the state, also announced plans to sell a Des Plaines, Ill., nursing home and a retirement center in Niles. Their buyer is Skokie, Ill.-based Glen Health and Home Management, according to a statement.
Financial terms were not disclosed. Presence hopes to close all the deals by the end of the year.
Presence, which has 12 hospitals, put Our Lady of the Resurrection on the market in March after saying financial losses there were unsustainable. In 2012, Our Lady of the Resurrection had a $12.5 million operating loss. That was followed in 2013 by a $9.8 million loss, which could double in 2014, Presence said in a statement in March.
Glen Health and Home Management has signed a letter of intent to buy Presence Ballard Rehabilitation, the Des Plaines skilled-nursing facility, and Presence St. Andrew Life Center, the Niles retirement facility.
The sales must be approved by state regulators to take effect.
For 2013, the Presence Health system reported a $61 million operating loss on $2.62 billion in total revenue, according to financial information provided to bond holders. Our Lady of the Resurrection is the third-smallest hospital in Presence’s system and posted revenue of $111.7 million in 2013.