Pres­ence Health finds buy­ers for hospi­tal, other fa­cil­i­ties

Modern Healthcare - - REGIONAL NEWS - —Kris­ten Schorsch, Crain’s Chicago Busi­ness

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.

Newspapers in English

Newspapers from USA

© PressReader. All rights reserved.