With Orlando's Health's acquisition of three local hospitals from Steward Health Care , officials are hoping for a new beginning for the facilities to go along with their new names, including expanded services and physical upgrades.
On Thursday, Orlando Health completed its $439 million deal for the 119-bed Melbourne Regional Medical Center. the 298-bed Rockledge Regional Medical Center and the 178-bed Sebastian River Medical Center in Sebastian. The deal also includes related physician practices.
The acquisitions were the result of an asset purchase agreement with Steward Health Care that was approved by a bankruptcy court judge handling ongoing Steward's bankruptcy case.
Orlando Health immediately rebranded the former Steward hospitals as Orlando Health Melbourne Hospital , Orlando Health Rockledge Hospital and Orlando Health Sebastian River Hospital .
What's ahead for facilities
“These acquisitions offer a new day in health care for residents of these communities,” said Ohme Entin, senior vice president of Orlando Health East Region, who will oversee the three hospitals. “History has shown that, when Orlando Health expands into new communities, the quality of health care increases and the communities benefit."
Entin said that also includes improving access to care and providing "a level of care that people know and trust."
"We’re excited to replicate those successes with these communities in Brevard and Indian River counties,” Entin said.
Entin said it's too soon to discuss specifics. She said Orlando Health is working with physicians, other staff, community leaders, patients and others to help determine the path forward. That includes determining what works well, as well as where there are gaps or opportunities for improvement.
"It's Day 1," Entin said, while attending a celebration with hospital staff at the Rockledge hospital on Thursday — one of three such events held that day at the newly acquired Orlando Health hospitals. "We have to listen first. And, then, once we find out where the gaps are and where we need to do the work, we'll lean in and tap into all the resources that we have to meet the unique needs of this community."
Entin said Orlando Health is a trusted brand, and is "thrilled to be joining the Space Coast."
She noted that expansion of services are likely with the new ownership of the hospitals. Additionally, Orlando Health has set aside money for upgrades to the facilities.
Company promises active community presence
Entin said Orlando Health also will have "a much more active presence in the community," with its acquisitions in Brevard and Indian River counties.
"We're going to come in and we're going to be involved in the community," Entin said. "We don't just come and care for patients inside (the hospitals). We make sure that we're caring for the community as a whole."
Entin said Orlando Health plans to retain the former employees of the Steward hospitals — 852 in Rockledge, 428 in Sebastian and 416 in Melbourne.
'New chapter' for health care
Johnette Gindling, president and CEO of the Space Coast Health Foundation, said: "I’m pleased to see this new chapter with Orlando Health begin in Brevard. It’s good news for our community. This helps ensure health care stability on the Space Coast, and the foundation looks forward to the opportunity to work with Orlando Health, as well as our other health care providers, going forward."
Space Coast Health Foundation was started with proceeds from the 2010 sale of the former Wuesthoff Health System — including the hospitals in Melbourne and Rockledge — to Health Management Associates Inc.
In 2017, Steward acquired the three hospitals that it just sold to Orlando Health.
The Rockledge hospital dates back to 1941, the Sebastian hospital dates back to 1974 and the Melbourne hospital dates back to 2002. All have undergone expansions and additions. The Rockledge hospital, for example, started with 10 beds, and now has 298.
"We're thrilled to have Orlando Health in our community," Rockledge City Manager Brenda Fettrow said, adding that she is looking forward to upgrades in the Rockledge hospital.
Rockledge City Council member Frank Forester said, at the Rockledge hospital, "the staff and doctors and everybody has been exceptional. But the facility, to be honest, has needed some work. Orlando Health will be committed to working on that — to make the facilities as equivalent to the staff."
Orlando Dominguez, Brevard County Fire Rescue's assistant chief for emergency medical services operations, sees many positives from Orlando Health entering the local hospital sector.
Dominguez anticipates that Orlando Health will be able to offer more specialized services and medical practitioners locally.
"Any time we have an opportunity to expand available specialty medical services in Brevard County is a welcome situation," Dominguez said.
One of three hospital companies
Entin said Orlando Health has received "overwhelmingly positive" initial feedback from staff and community members to its local acquisitions.
Orlando Health will be one of the three major hospital companies serving Brevard County.
The largest is Health First, which includes health insurance plans, a multispecialty medical group, and outpatient and wellness services, as well as four hospitals — Cape Canaveral Hospital in Cocoa Beach, Holmes Regional Medical Center in Melbourne, Palm Bay Hospital and Viera Hospital. Altamonte Springs-based AdventHealth owns a 27% stake in Health First, as part of a $350 million deal that took effect in January 2020.
Another major health care player is Titusville-based Parrish Healthcare, which operates Parrish Medical Center in Titusville; Parrish Medical Group; and Parrish Health Network, a coalition of health care providers, insurers and others.
This is the second major acquisition for Orlando Health this month. On Oct. 1, Orlando Health acquired majority ownership in Brookwood Baptist Health in Birmingham, Alabama, from Tenet Healthcare, in partnership with Baptist Health System. Orlando Health will manage day-to-day operations of the system, which includes five hospitals.Orlando-based Orlando Health operates medical centers and institutes; community and specialty hospitals; physician practices; urgent-care facilities; skilled-nursing facilities; and home-health-care and long-term and behavioral-health-care services. It has a presence Florida, Alabama and Puerto Rico.
This article originally appeared on Florida Today: Orlando Health says its a 'new day' for former Steward hospitals in Brevard and Sebastian