Long-Term Lease Agreement Puts Community Hospital On Track To OpenRelease Date: 2019-10-16
By Hayley Munguia
Long Beach is one step closer to reopening Community Hospital.
The City Council voted unanimously at its Tuesday, Oct. 15 meeting to approve a long-term lease with the hospital’s operator, Molina, Wu, Network. The lease became effective the day of the vote.
With the lease approved, Long Beach’s Economic Development Director John Keisler said the hospital could resume operations as soon as next month.
Although MWN has missed several self-imposed deadlines for reopening the facility in the past, most of the major hurdles in the process have now been cleared. The final step will be the state’s inspection of the hospital, which should take place at the end of October or in early November.
Details of the long-term lease that the City Council approved Tuesday include:
- The lease will last 45 years, with the option for two 10-year extensions;
- Rent will cost MWN $1 per year, and for the first five years of the hospital’s operation, MWN would pay the city 20% of the facility’s net revenue;
- MWN is responsible for all maintenance costs;
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