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State regulators approve OSF HealthCare's purchase of shuttered Peru hospital

St. Margaret's Hospital in Peru
Provided photo
St. Margaret's Hospital in Peru

State regulators have approved OSF HealthCare's $38 million purchase of a closed hospital in Peru and associated facilities.

The hospital closed abruptly in January amid the previous owner's financial and staffing challenges. The Illinois Health Facilities and Services Review Board says OSF HealthCare can purchase the 49-bed hospital and other select properties once operated by Saint Margaret's Health.

OSF plans to restore emergency care and other inpatient services to the Peru hospital by the end of the year. The hospital will operate as a second campus of OSF Saint Elizabeth Medical Center in Ottawa once final regulatory approvals and work on site is wrapped up.

OSF has not ruled out the possibility of restoring obstetrics to the Peru hospital in the future.

The Peoria-based health system has no plans to acquire the closed Saint Margaret's Hospital in nearby Spring Valley.

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Tim is the News Director at WCBU Peoria Public Radio.