Kaiser Permanente has purchased Moreno Valley Community
Hospital for $53 million.
“The sale of Moreno Valley Community Hospital begins a new
chapter in our efforts to lead Valley Health System back in financial health,
said Fred Harder, chief executive officer of Valley Health System. “This was a
good decision for Valley Health System, Kaiser Permanente and the communities
we both serve—a deal that will benefit everyone.”
Kaiser Permanente intends to operate the 101-bed hospital as
a community hospital—serving residents of the community. Kaiser Permanente
plans to make meaningful investments to improve the facility and advance
technology at the hospital. “Now, we can get down to the serious work ahead—to
make the transition a smooth one for everyone involved. We have begun plans for
building a medical office building near the hospital, and we are planning other
longer-term efforts that will serve the people of Moreno Valley,” said Vita
Willett, executive director for Kaiser Permanente’s Riverside service area.
The sale of Moreno Valley Community Hospital to Kaiser
Permanente is part of a four-party transaction that also involves Select
Healthcare and Valley Health System bondholders.
“We are working closely with the physicians who currently
practice at Moreno Valley Community Hospital, and we have already contracted
with many of the physicians at the hospital,” said Richard Rajaratnam, M.D.,
FRCS, FACS, medical director for Kaiser Permanente-Southern California
Permanente Medical Group (SCPMG) in Riverside County.
Valley Health System, a California Local Health Care
District, owns and operates two acute care hospitals and skilled nursing
facility. Hemet Valley Medical Center, a 340-bed facility located in Hemet,
Menifee Valley Medical Center, an 84-bed facility located in Sun City, and
Hemet Valley HealthCare Center, a skilled nursing facility located in Hemet.
Hemet Valley Medical Center opened its doors in 1943, and Menifee Valley
Medical Center opened in 1989.
Founded in 1945, Kaiser Permanente opened its medical center
in Riverside in 1989, and currently provides care for over 272,000 members
throughout the county. Over 400 physicians care for its members at 9 medical
facilities and at Kaiser Permanente’s Riverside Medical Center.