LERHSNY Calls Current Offer For Lake Shore ‘Insufficient’
Regional Health System of New York announced Wednesday that its board voted Tuesday night to continue the process of trying to sell Lake Shore Health Care Center because offers received to date are “insufficient.”
Lake Erie Regional Health System, which announced earlier this month that Lake Shore would close because it faces a $7 million loss for 2013, is the corporation that oversees Lake Shore and its affiliated clinics. Board members expressed continued interest in saving the hospital as a community asset.
The board held its monthly meeting and conducted normal business, including hearing a detailed presentation by its broker, The Hill Group, on marketing Lake Shore for sale.
An offer of $11 million to $15 million was made by Tony Borrello, a Silver Creek businessman.
The offer received for the property was detailed, and contacts with a number of other interested parties were identified. There is also interest in Lake Shore from operators of long-term and home-health services.
“We are following up on leads, and there are many,” said LERHSNY board chair Christopher Lanski. “The board has a responsibility to pursue all serious leads and make the decisions that result in the overall best outcome for the patients and employees of Lake Shore.”
LERHSNY officials stated the board will not negotiate in public or share any information about these opportunities at this time. The board is carefully performing due diligence and will report on progress when appropriate.
“We realize there is much concern and worry in the community, which we share,” Lanski said. “At the appropriate time, we will release information to employees and physicians, relevant local and state officials, and then the general public. It is not in the best interest of employees or patients to engage in disruptive public spectacles. The board is concerned and understands the current anxieties and asks for patience and understanding while we fulfill our obligations in a thoughtful manner.”
LERHSNY formed in 2008 as the parent organization for Brooks Memorial Hospital in Dunkirk and TLC Health Network, now comprised of Lake Shore Health Care Center in Irving and Gowanda Urgent Care & Medical Center. Tri-County Memorial Hospital in Gowanda was destroyed by flood in 2009 and financial pressures ended efforts to re-open it at a new site in Perrysburg last year.
Top regional and state Department of Health officials have been in discussions with hospital officials about all options.