Tuesday , October 17 2017
Home / Fallbrook / Fallbrook Regional Health District Sells Hospital for $4.5M

Fallbrook Regional Health District Sells Hospital for $4.5M

On September 29, the Fallbrook Regional Health District received confirmation of escrow closing on the $4.5 million sale of the closed Fallbrook Hospital to Crestwood Behavioral Health Inc. The new owners will break ground soon on renovations to reopen as the Fallbrook Healing Center.

After nearly three years of searching for a buyer, Crestwood opted to buy the facility that will take patients through county health department referrals. On May 10, the health district board voted unanimously to sell the vacant building at 624 East Elder to Crestwood and ratified the sale at a special meeting on July 28 with an intended close of escrow on July 31.

However, the health district was notified by the County of San Diego that the property required resolution of a lot line adjustment and a 1989 lien agreement before close of escrow.

The close of escrow comes after several regular and special board meetings where more than 300 residents shared feedback with the district board on the sale of the public property. Board members tabled the item at its July 12 regular meeting to do more fact-finding, including personal tours of Crestwood facilities, to address questions raised by the community.

The Fallbrook Healing Center will revitalize that building and bring much-needed health care services to our community, said board President Gordon Tinker. Were excited to work with Crestwood and their exceptional team on the next steps, which will mean investment and added jobs in our community.

The 50-year-old Fallbrook Hospital closed in November 2014 after soliciting proposals from more than 10 health systems in the region. Several more proposals and offers fell through in the years following as the Fallbrook Regional Health District spent about $200,000 a year on basic maintenance and security for the building.

The Fallbrook Hospital was last managed under a 30-year lease agreement by Tennessee-based Community Health Systems. The company closed the hospital’s labor and delivery department in September 2014 and announced it planned to shutter emergency and intensive care departments in November of that year. CHS reported to shareholders it lost nearly $6 million operating Fallbrook Hospital in 2013 alone.

Fallbrook’s situation is not unique. Since 2010, a report found that at least 82 rural hospitals have closed across the country with another 700 at risk of closure.

The board served the Fallbrook Regional Health District and its constituency with the utmost integrity throughout this long, trying process, said Executive Director Bobbi Palmer, MBA, MSW. Their superb and steadfast leadership ultimately paved the way to reduce barriers to quality health care and cut district costs which allow us to support 35 percent more community health needs for our residents.

The 100-bed Fallbrook Health Center will bring 108 full-time permanent positions and another 10 part-time positions in addition to the immediate construction jobs. Crestwood has committed at least $2 million for the construction project, though company representatives said it could cost the company up to $4 million.

We are delighted to be the newest member of the Fallbrook community, said Executive Vice President Patty Blum, Ph.D., of Crestwood Behavioral Health Inc. Today is an exciting and monumental day. This was a long and important community discussion and the result will be to preserve the provision of healthcare at the Fallbrook Hospital site while providing much need behavioral health services.

The project plans to break ground in the coming months and open in 2018.

The voter-approved special district collects roughly $1.6 million annually to cover health care provider shortages, uninsured Californians, patients with low or fixed incomes, and underserved populations.

Since 2000, the district community health contracts have support about 300 health programs offering no-cost services for the North San Diego County unincorporated communities of Bonsall, Del Luz, Fallbrook and Rainbow. In the last five years, the District granted more than $3.5 million in health services benefiting the public.

About Fallbrook Regional Health District

Fallbrook Regional Health District is a special district covering affordable community health needs in the communities of Fallbrook, Bonsall, De Luz and Rainbow. The roughly $1.6 million collected in voter-approved taxes supports nearly $700,000 annually in full spectrum community health programs and services, including health screenings, preventative treatment and urgent care. Learn more about community health needs provided by the district at www.fallbrookhealth.org.

Print Friendly, PDF & Email

Article Source

About editor

Check Also

Lady Warriors topple Escondido on Military Appreciation Night

USMC veteran and Fallbrook High varsity girls volleyball coach Chip Patterson speaks before the start …

Leave a Reply

Your email address will not be published. Required fields are marked *