The joint venture will operate physical therapy centers and acute inpatient hospitals in Arizona.
Banner Health will be the majority owner; Select Medical will serve as managing partner.
In the agreement, the combined outpatient rehabilitation services will include 26 Select Physical Therapy centers currently operating in the region as well as 12 Banner Health Physical Therapy and Rehabilitation centers. The four inpatient rehabilitation hospitals to be contributed to the joint venture are currently located at Banner — University Medical Center Phoenix, Banner Boswell Medical Center in Sun City, Ariz., Banner Del E. Webb Medical Center in Sun City West, Ariz. and Banner Baywood Medical Center in Mesa, Ariz.
The plan includes the construction of three new acute inpatient rehabilitation hospitals beginning in 2018 with anticipated completion by 2019.
Peter S. Fine, president and CEO of Phoenix-based Banner Health said:
This agreement brings together two top-ranked health care providers to serve Arizona. When Banner Health went searching for a partner for these specialty, post-acute care services, it quickly became apparent that Select Medical was the best fit. They share Banner’s commitment to clinical quality and our obsession with making health care easier so life can be better for our patients and their families.
More in the Banner Health Press Release