Wilmington Health’s main facility, located at 1202 Medical Center Drive, is part of a pending sale-leaseback deal. 

The healthcare provider plans to sell the property, which includes more than 6 acres and a 66,000-square-foot building, in a sale-leaseback transaction. The property was listed at $11.85 million.

According to Wilmington Health CEO Jeff James, the lease term would likely be five years. Although he expects the provider to retain some services at the facility initially, most services will transfer to a new medical office building near The Pointe at Barclay once construction is complete.

“We’ve outgrown it,” James said of the Medical Center building. “It’s a pretty old facility, and it was really kind of cobbled together from one expansion to the next expansion.” 

Some of the services expected to transfer to the new facility include lab, imaging, cardiology, pain management, orthopedics and urgent care services, James said. 

“It became apparent that it’s actually more expensive to try to retrofit that building than it is to build a new one,” he added. 

Wilmington Health purchased 5 acres in the Midtown Park office area near The Pointe for $5.2 million in April, with plans to construct a new 64,000-square-foot medical office building. The provider already has a medical office building in Midtown Park – as well as 18 locations across Jacksonville and Carolina Beach, according to its website. 

Once the new building is constructed, James expects it to become Wilmington Health’s primary clinical hub. 

James also addressed concerns over the closure of its urology services. In July, Wilmington Health urology patients received a letter announcing that the provider made “the very difficult decision to suspend urology department operations effective August 31,” while planning departmental changes. 

"We’re actually not closing down our urology department,” said James. “We’re just having to retool it, if you will… It’s just at this instant we don’t have any urologists."

James added that the provider is actively recruiting urologists. Wilmington Health’s website no longer lists its urology services or physicians.

Additionally, the provider is planning to expand in the Porters Neck and Jacksonville areas, James said. 

"We want to be able to support the growth of the communities, both in Jacksonville and up in Porters Neck,” he said. “It just makes sense for us to expand our service areas in the areas of population growth, as well as service growth."

James said that Wilmington Health plans to either build or lease a facility in Porters Neck over the next couple of years. Additionally, while the provider’s Jacksonville facility has not yet reached capacity, he envisions growth in the area. 

"As we continue to develop a relationship with UNC (Health) – that’s one of the markets that they’re focused on – we anticipate developing more physician services up in that area and likely will need additional facilities,” he said. 

Wilmington Health and UNC Health are partnering on a comprehensive oncology program to be established in a medical office building at the intersection of Silver Stream Lane and Medical Center Drive. The program awaits state approval to establish a freestanding fixed PET scanner. 

The state granted an exemption for the project’s medical office building in June. Novant Health is also awaiting state approval for a proposed fixed PET scanner at Novant Health Brunswick Medical Center. 

"I don’t really have an update other than it’s in the planning phase and moving forward,” James said of the proposed cancer center. “We’ll likely start to recruit oncologists soon… hopefully we’ll end up with some additional oncology services by mid next year."

James voiced support for UNC Health’s proposed 150-bed community hospital, as well as Novant Health’s proposed 225-bed heart and vascular tower, at a public hearing on three competing applications for acute care beds in New Hanover County. 

In a letter of support for UNC Health’s proposed expansion to the Wilmington area, James wrote that Wilmington Health providers are expected to staff the facility. Wilmington Health also plans to help staff the newly opened Novant Health Scotts Hill Medical Center, James said. 

"We’re excited for the community. We’re excited to have new healthcare options in the community,” James said. “I think the next couple of years are going to be pretty exciting."