NorthShore University HealthSystem Buys Northwest Community Healthcare
… NorthShore University HealthSystem Acquires Northwest Community Healthcare …

NorthShore University HealthSystem Acquires Northwest Community Healthcare

Chicago healthcare marketplace competition heats up

John G. Baresky

NorthShore University HealthSystem has formally completed its acquisition of Northwest Community Healthcare. NorthShore University HealthSystem (NSUHS or “NorthShore”) is based in the Chicago suburb of Evanston Northwest Community Healthcare (NWCH or “Northwest Community”) is located in the Chicago suburb of Arlington Heights.

NWCH was established in 1959 and has grown as the surrounding communities it supports became more densely populated. Its location and patient population made it very attractive for Chicago area health systems and others to consider buying them. Northwest Community attributes include:

  • 509-bed hospital
  • Approximately 4,000 employees
  • 1,200 doctors on staff at more than 40 northwest suburban locations
  • NCH Medical Group consisting of primary care and specialty physicians
  • 23 doctors’ offices
  • 5 immediate care centers
  • 13 lab locations
  • 7 physical rehabilitation sites

On an annual basis NWCH provides a high volume of quality advanced care:

  • 24,000 inpatient hospital admissions
  • Over 18,000 surgical cases spanning open heart surgery, joint replacement, neurosurgery and minimally invasive procedures
  • 337,000 outpatient visits (including hospital emergency room and immediate care centers)
  • 43,000 home care visits
  • 3,100 newborn deliveries

NSUHS is an integrated healthcare delivery network that is ranked as a top 15 academic hospital organization in the United States. Founded in 1891, it generates over $2.2 billion in annual revenue and is the principal teaching affiliate for the University of Chicago Pritzker School of Medicine.

NorthShore employs about 13,500 staff members and more than 3,000 doctors.

NorthShore’s 6 hospitals are:

  • Evanston Hospital
  • Glenbrook Hospital
  • Highland Park Hospital
  • Northwest Community Hospital
  • Skokie Hospital
  • Swedish Hospital

Just under a year ago in 2020, NorthShore acquired Swedish Hospital and its associated facilities located within the City of Chicago.

The acquisition of Northwest Community by NorthShore mirrors another major Chicago marketplace health system merger that was completed late in 2020 and effective 1/1/2021. Palos Health, a well-established health system located in the southwest Chicago suburb of Palos Heights, merged with Northwestern Medicine, a prominent leader in patient care and academic health system that is globally recognized for its medical innovation.

There is an array of healthcare provider organizations that encompass some of the largest hospitals, health systems and medical groups in the country that are located in the greater Chicago marketplace. These enterprises operate as academic, commercial, community, faith-based and private equity healthcare business models. Their ranks include:

The acquisition of Northwest Community by NorthShore reflects the ongoing consolidation of hospitals, health systems and medical groups across the nation. Much of the trend is driven by the need to reduce costs through combined operational efficiencies, increase leverage against commercial or government payers plus as pivotal elements in competitive growth strategies.

Entering 2021, NorthShore is now an even more formidable competitor and accomplished patient care provider with the addition of Northwest Community Health.

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