ARLINGTON, TexasNot-for-profit Texas Health Resources made moves to further expand its presence in Denton County, north of Dallas.
The system notified Community Health Systems, Franklin, Tenn., that it intends to exercise its option to acquire Communitys 80% interest in 187-bed Presbyterian Hospital of Denton (Texas), Texas Health said in a written statement. The $160 million hospital was developed by a joint venture of Texas Health and Triad Hospitals, Plano, Texas, that was agreed to in 2003 and opened in 2005.
Community acquired its interest in the venture last month when it bought Triad for $6.97 billion. Texas Health has told Community of its intentions, but has not done so in writing and has not exercised the option yet, a Texas Health spokeswoman said. A Community spokeswoman could not be reached at deadline. Wayne Smith, president, chairman and chief executive officer of Community, said last month that the company would not pursue joint ventures as eagerly as Triad did, especially to build brand-new hospitals. Community remains interested in joint ventures with physicians, Smith said.
In addition, Texas Health said it has plans for a joint venture with physicians to build a $160 million, 130-bed general acute-care hospital in Denton County, in one of the following cities: Flower Mound, Coppell or Lewisville, according to Will Behrmann, director of planning and business development. We need a thorough network of facilities, he said. Were looking where we dont have a facility presence, and those tend to be in higher-growing markets, Behrmann said, adding that Texas Health will let the physicians help drive the decision on location.
According to Behrmann, the systems first joint venture with doctors was in 1984. Today, Texas Health has 16 operations, including five hospitals, with physicians. Behrmann said the system has contacted more than 250 physicians and expects about 100 to be involved in the final partnership, of which Texas Health will have at least a 50% interest.
We prefer to partner with physicians, Behrmann said. Our commitment doesnt wane if that happens, he added, confirming that the system will continue with the hospitals development regardless of physician involvement. Construction on the 160,000-square-foot facilitywhich will carry the Presbyterian Hospital name along with the selected townis scheduled to begin in the second quarter of 2008. The hospital is expected to open in early 2010.