34
JOINT
VENTURES
4 quotes from HCA Healthcare CEO Sam Hazen on
outpatient caseload
By Eric Oliver
H
CA Healthcare grew its outpatient
caseload 3 percent year over year in
the second quarter of 2019, which
contributed to the company posting $12.6
billion in revenues for the quarter.
Despite that, Nashville, Tenn.-based HCA
Healthcare missed analysts' estimates for
revenue and earnings per share. Seeking Al-
pha transcribed the company's earnings call,
where CEO Sam Hazen offered insights into
the company and its outpatient efforts.
On the company's health: "e strategic
investments we are making to expand the
inpatient and outpatient capacity within our
networks and improve our clinical capabili-
ties create more opportunity for patients to
access high-quality convenient care in an
HCA Healthcare facility."
On competition: "I think generally speaking,
most of our competitors are trying to do a lot
of what we are trying to do. ey are trying
to attract physicians. ey are trying to create
outpatient capabilities that are responsive to
the markets and so forth. And so from that
standpoint, those [areas are] won and lost,
in my opinion, [due to] execution. It comes
down to detailing your business and your
relationships with physicians and so forth
and then creating a compelling offering for
the patient."
On HCA's ASC caseloads, which decreased
0.6 percent for the quarter: "When you
look at our tier 1 volumes, they were down
significantly. at's some ophthalmology
cases, some pain cases and so forth. at's
what influenced the metric for the quarter …
we feel pretty good about what we are doing
with our surgical growth initiatives and our
quality and investment initiatives inside of
our [operating rooms], and we have had a
fairly good pattern of growth.
On inpatient cases and overall case volume
growth: "Inpatient surgeries were the metric
of concern for us. ey were slightly down.
Flattish, if you will, domestically but down
internationally. at created a little bit of
pressure. We will have to continue to work on
that and monitor that as we move forward,
but all in all, our surgical activity on the out-
patient side, I think, is yielding pretty good
results for the company."
Note: Responses were edited for clarity.
n
California ASC property sells for
$13.5M — 5 details
By Angie Stewart
F
orest Surgery Center's medical office facility in San Jose,
Calif., changed hands for $13.5 million, according to com-
mercial real estate news outlet RENTV.
Five details:
1. The transaction was part of a 1031 property exchange, meaning
the buyer swapped one investment property for another. Marcus
& Millichap's Levin Johnston Group represented the buyer in the
transaction. The seller wasn't specified.
2. The buyer sold its ownership in a 33-unit multifamily property
for $10 million, then reinvested the proceeds in Forest Surgery
Center's medical office property.
3. All physicians in the 19,700-square-foot medical facility signed
new leases of five to 10 years.
4. Forest Surgery Center is part of Bay Area Surgical Management,
which comprises nine surgery centers in California.
5. Forest Surgery Center is situated in a medical hub directly across
from O'Connor Hospital and near Santa Clara Valley Medical Cen-
ter. The ASC offers musculoskeletal, urology, gynecology, general
surgery, podiatry and gastroenterology services.
n
Surgery Partners to
relocate multispecialty
ASC — 3 details
By Angie Stewart
B
rentwood, Tenn.-based Surgery Partners is
getting ready to open a new ASC, accord-
ing to Brian Blankenship, vice president of
facility development.
Three details:
1. The new facility will be home to Valley Ambu-
latory Surgery Center, replacing the practice's
existing space. Both are in St. Charles, Ill.
2. The current Valley Ambulatory Surgery Center
was built in the late 1980s and was one of Il-
linois' first ASCs.
3. Valley Ambulatory Surgery Center is a
multispecialty facility offering services such as
anesthesia, radiology, podiatry, ENT and ortho-
pedics.
n
