The attorney for Bay Medical Center in Panama City, Fla., has called the hospital’s potential 40-year lease “a controlled sale,” according to a News Herald report.
As opposed to a sale, leasing the hospital would still let the board have some control over the facility. Bay Medical administrators are negotiating with Sacred Heart Health in Pensacola, Fla., and Plano, Texas-based LHP Hospital Group to lease the hospital, allowing the hospital’s special district to pay off its debt while also letting Bay Medical join a hospital system.
The initial term of the lease is 40 years along with two 10-year extensions. For the extensions, the joint venture would lease the hospital’s land for $100,000 each year.
Related Articles on Bay Medical Center:
Florida’s Bay Medical Center Signs LOI with LHP Hospital Group, Sacred Heart Health
Florida’s Bay Medical Center May Go Private in JV With LHP, Sacred Heart Health
Florida’s Bay Medical Center Continues Affiliation Hunt Amidst Budget Cuts
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