Archdiocese Sells Nursing Homes to NY-Based Firm for $145M

PHILADELPHIA—The Archdiocese of Philadelphia in its continuing effort to stabilize its finances has sold its six nursing homes and one assisted living facility to a New York City-based senior facilities operator for $145 million.

The facilities operated under the archdiocese's Catholic Health Care Services were sold to Center Management Group, a privately held for-profit company based in Flushing, Queens that owns and operates 15 nursing homes in New York and New Jersey, including two former Catholic homes in Brooklyn, according to The Inquirer.

The deal is the largest orchestrated by Archbishop Charles J. Chaput in his campaign to cut expenses. The facilities included in the sale were: Immaculate Mary in Philadelphia, The Villa Saint Martha in Downingtown, the Saint Francis Country House in Darby, the Saint John Neumann Home in Philadelphia, the Saint Martha Manor in Downingtown, the Saint Mary Manor in Lansdale and the Saint Monica Manor in Philadelphia.

In total, the nursing home and assisted living facilities offer 1,400 beds and are located in Chester, Delaware, Montgomery, and Philadelphia counties. In the past the Archdiocese has sold the Cardinal's Mansion for $10 million and has agreed to lease 13 cemeteries in a deal valued at $89 million.

"This agreement will serve the Archdiocese and its people well by ensuring the nursing homes presently operated by Catholic Health Care Services will continue to be dignified centers of care for the elderly in the Catholic tradition and in accord with the moral and ethical teachings of the Church," said Archbishop Chaput in a prepared statement. "I did not arrive at this decision lightly. It came only after a great deal of consultation, discussion and prayer. Center Management Group has a great deal of experience in the operation of nursing homes and they've guaranteed the conditions I set forth some time ago in terms of fair treatment of current employees and residents.”

The Archbishop stated that Center Management Group was selected from a group of nearly 30 initial bidders.

As I've said time and again, I'm committed to talking about our financial issues and how we are dealing with them in a transparent fashion,” he said. “ We're making progress and we become a little more stable with each step we take. We still have a way to go, but everything is being done so that we can best fulfill the church's mission of evangelization and service to those in need." See story in The Inquirer.