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Home » News


Muskegon's Mercy Health Partners plans $15.4 million renovation, addition

Published: Wednesday, December 07, 2011, 7:30 AM     
By Mark Sanchez | Business Review West Michigan



A proposed $15.4 million renovation and addition at Mercy Health Partners’ Mercy hospital campus would continue a facility consolidation in Muskegon that began with the 2008 merger with Hackley Hospital.

The project, representing the largest remaining space consolidation since the merger, would enable Mercy Health Partners to relocate inpatient and outpatient diagnostic labs from the Muskegon General campus on Oak Street and generate efficiencies by reducing lab locations in Muskegon from three to two: The Mercy Campus and the Hackley hospital campus.

In closing inpatient services at the 25-bed Oak Street campus, Mercy Health Partners will save $1.2 million annually in utility and maintenance costs and $820,000 in labor costs, plus avoid $10 million in needed capital improvements at the site, according to a certificate-of-need application the health system filed with the state.

Pending state approval, the renovation work could begin this winter, said Jim Roberge, senior director of facilities services at Mercy Health Partners.

The proposed two-story, 39,495-square-foot addition, plus 10,358 square feet in renovated space, would accommodate the lab work relocating from Oak Street and the future expansion of clinical services at the Mercy Campus that’s presently “very tight” on space, Roberge said.

Mercy Health Partners plans to leave one floor of the addition vacant for now and decide on its use later, Roberge said.

“That gives us some flexibility on what is really the best use of clinical space,” he said. “There’s a variety of options that we’ll evaluate to do with that space.”

Mercy will also review options for the Oak Street campus and will “very likely” issue an RFP to developers next year to generate ideas, Roberge said. The future use of the Oak Street campus “is all about demand and need and so forth,” he said.

“We hope there may be a better use for that property in the future,” he said. “It’s really a re-purposing of the property, we hope, at some level. Anything is a potential possibility, I would suspect.”


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