Tennessee system plans $23M ASC after joint venture falls through

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Chattanooga, Tenn.-based Parkridge Health System, a subsidiary of HCA Healthcare, is continuing its plan for an outpatient surgical center in Chattanooga, Tenn., according to a May 24 report from the Chattanooga Times Free Press.

The ASC was originally designed as a joint venture between Parkridge and Chattanooga, Tenn.-based Erlanger Health. Erlanger previously planned to buy 49% of the center, but is no longer involved with the project. 

Parkridge purchased a 55,000-square-foot building in 2023 for $36 million, with the ASC expected to open in 2025 and cost $23.2 million.

According to an application with the state, the Chattanooga East Surgicenter was expected to include five operating rooms and provide services including orthopedic, gynecological, spinal, plastic and urological surgeries. The center was projected to have about 7,000 cases in its first year and about 12,000 in its second year. 

The approval of the ASC, which was granted by the Tennessee Health Facilities Commission in October 2023, expires Dec. 1, the report said. 

At the Becker’s 32nd Annual Meeting: The Business and Operations of ASCs, taking place October 29-31 in Chicago, ASC leaders, surgeons and healthcare executives will explore strategies to drive growth, enhance operational performance, navigate reimbursement challenges and prepare for the future of ambulatory surgery. Apply for complimentary registration now.

Register to Attend Webinar

Is ambulatory care healthcare’s big margin engine? 4 leaders weigh in

Wednesday, July 29
1:00 PM - 2:00 PM CDT

Presenters: Joe Ganley, athenahealthJeffrey Flynn, CASC, Gramercy Surgery CenterBryan Tsao, Access Center, Loma Linda University HealthJason Zepeda, Northridge Hospital Medical Center, CommonSpirit HealthGreg DeConciliis, PA-C, CASC, Boston Out­Patient Surgical Suites

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