Prospect Medical Less Enthusiastic for Crozer Sale, Says Crozer Landlord

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Health care workers protest outside a hospital in Upland, PA.
Image via Jessica Griffin, The Philadelphia Inquirer.
Health care professionals protested service cuts last spring at the Crozer Chester Medical Center.

The landlord that owns Crozer Health’s real estate says Crozer Health’s parent company Prospect Medical Holdings Inc. may be losing enthusiasm for selling the health care system, writes Harold Brubaker for The Philadelphia Inquirer.

Prospect Medical still expects to sell its hospitals in Connecticut but may not feel the same in Pennsylvania anymore, said Edward K. Aldag Jr., chairman and CEO of Medical Properties Trust Inc.

“They’re extremely bullish on where they are in Pennsylvania,” Aldag said.

In February, Prospect announced a preliminary agreement to sell Crozer, which owns four hospitals in Delaware County, to the nonprofit ChristianaCare.

But negotiations are further along to sell Prospect’s two hospitals in Connecticut than those in Pennsylvania, Aldag said.

In a WHYY story, Crozer Health’s new CEO Anthony Esposito said negotiations are taking place.

“We are continuing to move through due diligence and working through the final agreements,” said Esposito.

Aldag’s company paid $1.55 billion for Prospect’s real estate, including Crozer properties, in three states.

Crozer pays $30 to $35 million in annual rent on a long-term lease to Medical Properties Trust.

Crozer and ChristianaCare have not talked yet to Medical Properties Trust about a new deal on the real estate, according to Aldag.

Read more at The Philadelphia Inquirer about Crozer Health negotiations.

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