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Insight Health System officially owns Valley hospitals

Michigan-based company announced transition Monday

WARREN — Ownership of Trumbull Regional Medical Center and Hillside Rehabilitation Hospital has officially transferred to Insight Health System, the Michigan-based health care provider announced.

Insight Health had been interim operator of the facilities since September after a significant development in Steward Health Care’s bankruptcy case that allowed temporary managers to operate 15 of the ailing hospital system’s hospitals, including the two in Trumbull County.

Then, Insight Health announced its intention to acquire the facilities as well as several other satellite facilities in the Mahoning Valley. It was in October that Insight Health was named designated operator.

Steward Health filed bankruptcy May 6, citing billions in debt. Shortly after, it announced its intention to sell off its 31 hospitals, and in August, the Texas-based company announced its intention to close the local hospitals by Sept. 20.

According to a release Monday, Medical Properties Trust, the Birmingham, Alabama-based real estate investment trust that held the leases for Steward Health’s properties, still owns the real estate, but “Insight intends to purchase all of the assets in the future.”

As part of the new lease agreement, MPT has consented to rent concessions “that have put the facilities on a better path toward financial stability.” In addition, MPT has agreed to make capital expenditure improvements at the facilities.

Also, Insight Health has no plans to reduce service lines, the release states.

The bill of sale was completed Wednesday, according to a spokesman for Insight Health.

“Trumbull and Hillside are operating at full capacity and were already seeing increased patient volumes in less than a month after Insight took over operations,” Dr. Rany Aburashed, corporate chief medical officer for Insight, said in the release. “These organizations have top-notch programs and great physicians, and we have a feeling the community will be very excited when we’re able to fully put our fingerprints on every aspect of their operations.”

A sale price was not included in the release, nor was information about what types of improvements MPT plans to make the hospitals.

The spokesman for Insight Health did not provide a sale price and deferred comment about the improvements to MPT. An email seeking comment with officials with MPT was sent Monday afternoon.

Said Cindy Russo in the release, “The Insight team came in and immediately went to work assessing our operations from top to bottom, identifying opportunities to make improvements that will establish long-term financial stability and improve patient care. I look forward to working closely with Insight to continue to implement their vision for Trumbull and Hillside to ensure our community has access to patient care second to none for decades to come.”

Founded in 2008, Insight, a physician-led organization, operates hospitals and other health care facilities in Michigan, Iowa, New Jersey, Illinois and now, Ohio. Two not-for-profit organizations — Insight Foundation of Trumbull and Insight Foundation of Hillside — are operating the local facilities.

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