Two Catholic Health hospital system adult homes and one nursing home will be sold to a private Long Island company pending state approval, officials announced Monday.
The sale includes St. Francis of Williamsville, a 142-bed skilled nursing/subacute-care facility; and two adult homes, 117-bed St. Elizabeth’s Home of Lancaster and 40-bed St. Vincent’s Home of Dunkirk.
Together, the homes employ about 315 people and serve 400 people.
The buyer, Comprehensive Healthcare Management Services, operates long-term-care facilities in New York, Pennsylvania, Connecticut, Oklahoma and Missouri. The company plans to keep the facilities open under new names, according to Catholic Health.
“You don’t buy entities like these to close them,” said Mark Sullivan, executive vice president and chief operating officer of Catholic Health.
He and others said the hospital system has sustained multimillion-dollar losses from the three facilities, including a projected $3 million loss for 2013, since taking over their operation in 1998.
“The current health care environment makes it difficult for us to continue making the needed investments that will be required to maintain these facilities,” said Sullivan.
Catholic Health spokeswoman JoAnn Cavanaugh characterized the sale as “the best alternative for keeping the facilities open and preserving jobs.”
An official from Comprehensive Healthcare Management Services could not be reached to comment.
The sale was approved by Catholic Health’s board of directors and is subject to approval by the New York State Health Department once Comprehensive files a certificate of need for the sale.
Sullivan said he expects the paperwork to be filed soon and the state review to take nine to 18 months. He declined to disclose the sale price at this time.
Catholic Health operates four other skilled nursing facilities – Father Baker Manor in Orchard Park, Mercy Nursing Facility in Lackawanna, St. Catherine Labourè Health Care Center in Buffalo and McAuley Residence in Tonawanda.
They are not affected by the sale.
The hospital system plans to mail letters about the sale to families of residents and conduct meetings at the facilities to answer questions, Cavanaugh said.