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A joint venture (JV) hospital in Chula Vista, California, which is to be co-operated by behavioral health giant Acadia Healthcare (Nasdaq: ACHC), has been given the green light by city officials.
The Chula Vista Planning Commission has approved the hospital, Eastlake Behavioral Health, which is a JV between Acadia and San Diego-based Scripps Health that is slated to open in 2023.
The facility will provide 120 inpatient beds for adults, adolescents and seniors presenting for acute care. Additionally, Acadia is proposing that a specialty unit be constructed inside the hospital that will serve active-duty military and veterans.
Acadia is the nation’s largest standalone provider of behavioral health services, operating 230 facilities across 40 states and Puerto Rico. During the company’s third quarter (Q3) 2021 earnings call in October, Acadia said that it would have announcements on JV developments during Q4.
The new JV between Acadia and Scripps would seem to be the first announcement on that front for the last quarter of 2021.
“Acadia is proud to partner with Scripps to expand access to behavioral health care in this area of great need,” Dwight Lacy, the operational group president of Acadia Healthcare, said in a press release jointly issued by Acadia and Scripps. “This hospital will be an important resource for Chula Vista and the surrounding communities to help those in need, including our families, friends, neighbors, and coworkers who are struggling with behavioral health conditions. This hospital will be part of the solution — replacing stigma with hope and healing.”
The new facility is designed to address the dearth of inpatient behavioral health beds throughout San Diego County. According to figures compiled by the California Hospital Association, the county currently only has half the number of beds needed to adequately provide inpatient behavioral services to residents.
“The Eastlake hospital will contribute greatly to the well-being of Chula Vista and South County,” Tom Gammiere, the regional chief executive of Scripps Health’s southern region, said in the press release.
Scripps Health provides integrated health care services at locations such as 28 outpatient centers and clinics, five acute care hospitals and hundreds of affiliated physician offices throughout the San Diego area.
“These additional 120 beds will help us get closer to meeting our community’s overwhelming need for behavioral health care,” Gammiere added.
In addition to the planned JV with Scripps, Acadia recently broke ground in Battle Creek, Michigan for a 96-bed JV that is scheduled to open in early 2023. Acadia and Bronson previously announced its plans to build the hospital in July.