2 More Former Crozer Health Properties To Hit The Auction Block
Crozer-Chester Medical Center and Springfield Hospital are set to be sold next month following the bankruptcy of their parent company, Prospect Medical Holdings.
Bids for the two defunct Crozer Health properties in Delaware County are due Oct. 7 ahead of an Oct. 10 auction, The Philadelphia Inquirer reported, citing a court filing.
Qualified bids aren’t allowed to have any contingencies, meaning prospective buyers would need to shoulder any property tax uncertainty.
The Springfield property has a complex ownership structure. Three of the buildings are owned by publicly traded REIT Ventas, which bought them seven years before Prospect Medical Holdings’ acquisition of Crozer in 2016.
The operator also had a sale-leaseback agreement with Medical Properties Trust for the hospital and parking lot, which lasted from 2019 until 2023.
Crozer-Chester Medical Center and Springfield Hospital hit the market in June alongside Delaware County Memorial Hospital in Upper Darby and Taylor Hospital in Ridley Park.
Keen-Summit Capital Partners was tapped to manage the sale on behalf of Prospect, which enacted a phased shutdown of the Crozer system weeks earlier in the wake of its January bankruptcy declaration.
Taylor Hospital sold for $1M in August to a group of healthcare executives led by Todd Strine, majority owner of ambulance company Keystone Quality Transport, with tentative plans to bring an emergency room back to the property.
The transaction was finalized after county, municipal and school district officials agreed to lower the defunct hospital’s taxable value from $60M to $1M for two years. They will be free to appeal the new value in 2027.
Delco Memorial was purchased by the Upper Darby School District for $600K earlier this month. That news came as a portfolio of five former Crozer outpatient facilities sold to Delaware-based ChristianaCare for $50M.
ChristianaCare is also expanding its microhospital portfolio into Delco, with new outposts planned in Springfield and Aston.
