MetroHealth Board of Trustees Unanimously Approves Sale of Bonds for Campus Transformation
The MetroHealth System Board of Trustees unanimously approved the issuance and sale of Hospital Revenue Bonds, Series 2017, to fund the System’s campus transformation. The vote occurred during a regular meeting of the Board on Wednesday, March 22.
MetroHealth will serve as self-issuer of up to a maximum of $1.3 billion of bonds, with an anticipated 40-year final maturity to fund all associated costs of the campus transformation.
Bank of America Merrill Lynch and J.P. Morgan Securities are co-lead underwriters for the sale of the bonds. Kaufman, Hall & Associates has acted as financial advisors for the campus transformation since 2015.
MetroHealth’s campus transformation includes significant construction projects on its 52-acre main campus, including the building of a new 12-story hospital building, 1200 -1500 car parking garage and central utility plant. Buildings will be demolished to make way for green space and internal roads, with additional plans to revitalize the West 25th Street corridor. The first phase of the project started in 2015 with the demolition of the Northcoast Behavioral Health Care Facility and the construction of the $82 million, two-story addition to the existing Critical Care Pavilion, which opened in July 2016.
The MetroHealth System, Cuyahoga County’s public health system, is honoring its commitment to create a healthier community by building a new hospital on its main campus in Cleveland. The building, and the 25 acres of green space around it, are catalyzing the revitalization of MetroHealth’s West Side neighborhood.
MetroHealth will break ground on the new hospital in late 2018, using nearly $1 billion it borrowed on its own credit after dramatically improving its finances. In the past five years, MetroHealth’s operating revenue has increased by 44.5 percent and its number of employees by 21 percent. Today, its staff of 7,700 provides care at MetroHealth’s four hospitals, four emergency departments and more than 20 health centers and 40 additional sites throughout Cuyahoga County. In the past year, MetroHealth has served 300,000 patients at more than 1.4 million visits in its hospitals and health centers, 75 percent of whom are uninsured or covered by Medicare or Medicaid.
The health system is home to Cuyahoga County’s most experienced Level I Adult Trauma Center, verified since 1992, and the only adult and pediatric burn center in the state of Ohio.
As an academic medical center, MetroHealth is committed to teaching and research. Each active staff physician holds a faculty appointment at Case Western Reserve University School of Medicine and its main campus hospital houses a Cleveland Metropolitan School District high school of science and health.
For more information, visit metrohealth.org.