Dive Brief:
- Larkin Community Hospital in south Florida recently acquired Hollywood Pavilion Hospital and Hollywood Hills Nursing Home by winning a bankruptcy auction.
- The winning bid was $24.6 million, $400,000 of which was a credit bid.
- Hollywood Pavilion's former CEO and majority owner, Karen Kallen-Zury, is currently serving a 25-year prison sentence for Medicare fraud.
Dive Insight:
"This acquisition represents another step in the evolution of our hospital into an integrated delivery system," Larkin President and Chairman Dr. Jack J. Michel told the South Florida Business Journal. "Skilled nursing care is an integral ingredient in the continuum of care, allowing hospitals to reduce length of stay and prevent readmissions. We look forward to making the enhancements necessary to convert Hollywood Hills into a 5-star facility to serve the needs of our community."
Although the circumstances of this particular sale are rather grim, Hollywood Pavilion's ultimate bankruptcy provided Larkin with an opportunity to expand its services. And in today's healthcare market, savvy shoppers will continue to seize opportunities to acquire the types of facilities they need in order to survive and thrive.