CarePoint Health and BMC Hospital LLC late Monday announced signing a letter of intent concerning the sale and preservation of Bayonne Medical Center as an acute care hospital.
In a statement, CarePoint Health said that the transaction is contingent on approvals from the state Department of Health, and either a simultaneous purchase of the hospital real estate by an affiliated entity or the City of Bayonne and/or Hudson County Improvement Authority exercising its right to eminent domain related to the land.
“We understand that the City of Bayonne and the Hudson County Improvement Authority are discussing the appropriate steps related to eminent domain under their existing authority. In parallel, the parties expect to sign a definitive agreement within 45 days,” the statement said.
Under the terms of the LOI, the services and resources for Bayonne Medical Center as a full-service provider of acute health care services for the City of Bayonne and the surrounding communities will be enhanced.
BMC Hospital said it planned to offer jobs to the facility’s employees.
“We believe the Center’s staff is central to its success, so we will offer employment to current employees, keep the terms and conditions now in effect, and voluntarily recognize each union as the representative of each unit that it now represents,” said BMC Hospital President Wayne Hatami in a March 25 statement.
Executives at BMC Hospital collectively have more than 50 years of experience operating health care facilities, including turning around and successfully operating multiple ambulatory surgery centers in New Jersey, and several others in New York, according to CarePoint Health.
“They expressed excitement about the future of Bayonne Medical Center under their leadership, and their plan to expand the hospital’s services and deliver world class health care in Bayonne.
“Bayonne is a vibrant, growing community with a great history that the Bayonne Medical Center has always been part of, and should continue to be into the future,” CarePoint said. “We look forward to making sure that happens for the citizens, patients, doctors, nurses and others to whom the hospital is so important.”
BMC Hospital specializes in reviving financially distressed ambulatory surgery centers and making them viable for their communities. The organization’s proprietary turnaround approach involves collaboration with physicians and nurses to improve health care, patient-centered service, and state-of-the-art equipment.
“Bayonne is the kind of closely-knit community we love to serve,” said Hatami. “We’re looking to engage with the Center’s leadership and employees, its unions, the mayor and community, and work closely with the doctors and nurses to ensure that Bayonne gets the quality acute care hospital it needs and deserves.”
CarePoint Health separately reached agreement with RWJ Barnabas Health Inc. on all material terms to sell Christ Hospital and Hoboken University Medical Center, but Avery Eisenreich – the owner of Alaris Health, and the land both hospitals are located on – refused to accept offers that will allow the transaction to move forward, according to CarePoint Health.
CarePoint Health said that it welcomes any steps initiated by the City of Hoboken and/or the Hudson County Improvement Authority to exercise its right to eminent domain related to the Hoboken hospital real estate to ensure the preservation of Hoboken University Medical Center and Christ Hospital.
Editor’s note: This story was updated at 1:51 p.m. EST on March 26, 2020 to include comments from BMC Hospital LLC.