Tennessee Company Eager to Talk Business with Lakewood Hospital Association

Surgical Development Partners, a Tennessee-based "team of seasoned health care executives," submitted a non-binding letter of intent to the Lakewood Hospital Association outlining a proposal for the property at 850 Columbia Road. 

In short, the document presents and proposes a $9-million offer for the medical office building and ambulatory surgery center — the Westlake Medical Campus, an affiliate of Lakewood Hospital. (Read the full letter below.)

This represents the third publicly available proposal that has been pitched to the LHA for part or all of its property management portfolio. (An earlier proposal from MetroHealth was later rescinded. The Clinic's LOI, which includes purchasing the 850 Columbia Road property and a whole bunch of other ideas, has lapsed, but negotiations are ongoing between their legal team, the LHA, and the city, which owns the properties.)

At the end of Surgical Development Partners' LOI, they add that they have an unspecified interest in Lakewood, as well: "We look forward to our future meetings and the success of the Project which we can accomplish through our mutual efforts, and, if the Lakewood Hospital Association has an interest, a discussion of potential structures, plans or uses for the Lakewood Hospital main campus."

The supplement to the letter, submitted to the LHA yesterday, clarifies that the LOI itself pertains only to 850 Columbia Road. The deadline for the LHA to respond to the non-binding proposal is Dec. 31. 

On Oct. 19, Law Director Kevin Butler discussed the initial documents from Surgical Development Partners: "I want to make very clear: [The letter of intent] did not make any pitch for the operation of an in-patient facility of any size or any facility in Lakewood."

On both Oct. 19 and Nov. 7, Mayor Michael Summers said that he had a "lengthy phone call" with Surgical Development Partners CEO Eddie Alexander and that he had invited Alexander to come to Lakewood and discuss health care. Summers said on Oct. 19: "[Alexander] did very clearly say that he was not interested in the existing hospital in Lakewood."

The supplemental document also states a desire to have an appearance from Surgical Development Partners placed on the agenda for the Dec. 7 City Council meeting. (The agenda should be published online by the end of the week.)

See the original LOI and the supplement, in full, below.

With the election in the rearview, sources have told Scene that the negotiations over the Clinic plan have been heating up. A meeting reportedly took place at the hospital last night, and one source surmises that an agreement between the Clinic, the LHA and the city is "very close." From there, the ordinance to approve any agreement with any health care entity would have to pass through City Council.

Surgical Development Partners LOI

Surgical Development Partners - Supplement to LOI

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Eric Sandy

Eric Sandy is an award-winning Cleveland-based journalist. For a while, he was the managing editor of Scene. He now contributes jam band features every now and then.
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