Massena hospital moves ahead with plans to purchase Seaway Orthopedics, expand rehab services following state approval
MASSENA -- Massena Memorial Hospital has received state approval to buy the Seaway Orthopedics Facility and expand rehabilitation services with the physical therapy equipment/services and MRI.
With the recent approval of a certificate of need from the state Department of Health, MMH can go ahead with the asset purchase of the facility at 271 Andrews St. The purchase does not include Dr. Bedros Bakirtzian’s private medical practice, hospital officials said in a prepared release.“The hospital board of managers and administration have been working with Dr. Bakirtzian for nearly two years on this strategic initiative,” said Charles F. Fahd, II, Chief Executive Officer at MMH.
“This is an asset purchase agreement for the facility, equipment and ancillary services such as Physical Therapy, EMG and Nerve Conductive studies, along with the open MRI.” Dr. Bakirtzian’s practice will remain in the office suite of Seaway Orthopedic facility and pay rent for the office space.
The acquisition is part of a long-term plan to allow the hospital’s physical therapy and Seaway Orthopedics’ rehabilitation programs to complement one another and ensure the hospital is taking the right steps in meeting the community needs in rehabilitation, hospital officials said.
MMH plans to absorb most of the current employees of Seaway Orthopedics that are currently providing Physical Therapy/Rehabilitation and MRI services according to Civil Service guidelines. The employees are all state-licensed professionals, officials said.
Hospital representatives plan to speak to the staff at Seaway Orthopedics in the near future about employment opportunities. The hospital is also currently recruiting an additional orthopedic surgeon for the area.
“The hospital Finance Committee has reviewed the financial data, cost benefit analysis and pro forma, and have had the opportunity to review ten years worth of patient volume and financial indicators,” said Fahd.
“Although the hospital has sufficient funding in cash reserves, we plan to pay approximately 25 percent as a down payment and finance the remaining for the facility and equipment.” The hospital will finance $1.5 million, along with $250,000 annual payments for years 2-5, which would come from the operating revenues realized by this asset purchase.”
MMH plans to close on the facility pending the completion of the state Department of Health conditions/upgrades. The operation transition will be seamless without any interruption of service, officials said.