Brandywine Hospital in need of new owner after Penn Medicine deal falls through
COATESVILLE, Pa. (CBS) -- Tower Health is looking for a new buyer for Brandywine Hospital in Coatesville after Penn Medicine announced it pulled out of the deal.
Penn Medicine's initial plan to buy Brandywine Hospital was announced in June 2023.
Penn was working with the VA to potentially revamp Brandywine into an updated, replacement VA hospital for the outdated Coatesville VA Medical Center down the road.
The recent PACT Act is allowing the VA to lease facilities from academic partners like Penn as opposed to the VA having to build the facility itself.
But Penn Medicine now says the Brandywine site is not suitable for that plan.
"After an intensive due diligence process, we have determined that we would be unable to build out the infrastructure for the project in the space available on the Brandywine campus and will terminate our letter of intent with Tower to purchase the property," a statement on Penn Medicine's website reads.
Penn Medicine is now looking to find another property nearby where it can work with the VA, saying "this project is of vital importance for both veterans in our region and community members who live in the Coatesville area."
Meanwhile, Tower Health says there are other takers who may be interested in the Brandywine site.
"The Brandywine property has previously received significant interest from a variety of organizations. We will reengage in discussions with these companies, along with others, to secure a new owner for the property," Tower Health said in a statement.
Chester County Commissioners Josh Maxwell, Marian Moskowitz and Eric Roe released this statement on the developments:
"We are disappointed that the Brandywine Hospital property did not meet Penn Medicine's requirements, but we are excited that Penn Medicine remains committed to bringing emergency and acute care back to the Coatesville area, as well as expanding care for veterans through the agreement with the U.S. Department of Veterans Affairs. We will continue to support Penn Medicine's plans as they seek an alternative location to provide the best healthcare facility for Chester County residents and veterans."
After shutting down Jennersville Hospital in December 2021, Tower Health closed Brandywine Hospital as part of a larger effort to cut costs.
Last spring, ChristianaCare reopened a "micro hospital" with 10 emergency beds at the Jennersville site.
Brandywine Hospital sits on Reeceville Road off Route 30's Coatesville-Downingtown Bypass.
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