This is a composite image of, clockwise from top left: Jackie Withrow Hospital in Beckley; Lakin Hospital in West Columbia, Mason County; John Manchin Jr. Health Care Center in Fairmont; and Hopemont Hospital in Terra Alta, Preston County.
This is a composite image of, clockwise from top left: Jackie Withrow Hospital in Beckley; Lakin Hospital in West Columbia, Mason County; John Manchin Jr. Health Care Center in Fairmont; and Hopemont Hospital in Terra Alta, Preston County.
Courtesy photo
The state of West Virginia has reached a deal with a New York-based development group to sell four state-run long-term care facilities for $60 million, Gov. Patrick Morrisey announced Tuesday.
will make a “significant†investments in the state, Morrisey said, and will purchase:
in Terra Alta, Preston County
in Beckley
in Fairmont
in West Columbia, Mason County
Gov. Patrick Morrisey speaks, on Aug. 12, 2025, during a news conference in the Governor's Office at the West Virginia State Capitol in Charleston.
GOVERNOR'S OFFICE | Courtesy photo
“The sale of these facilities would produce a significant amount of revenue for the state, spur investment in the renovation and expansion of these facilities, and, I think, increase the level of quality of health care that’s provided to patients,†Morrisey said during a news conference Tuesday afternoon. “We also believe that all this can be done in a way that preserves many jobs and [retains] a lot of the staff that have been working hard for many, many years to provide care for their fellow West Virginians.â€
Together the facilities are licensed for about 500 beds.
MDG owns and operates long-term care facilities in states in the region, according to a news release from Morrisey. Through its subsidiaries, Majestic Care and Bluegrass Consulting Group, it owns 55 properties with more than 5,000 licensed beds.
The company did not respond to a request for comment on Tuesday afternoon.
Sale plan was in the works for a year
In July 2024, the state Department of Health Facilities to sell the facilities, including hiring Lument Securities, LLC, a firm that advises in health care mergers and acquisitions.
Morrisey said the facilities all operate at a loss and would require the state to invest $100 million over the next few years to rebuild and renovate.
“Furthermore, even if the state invested this money, the long term operating costs, they’re only going to continue to rise, but they’d rise without substantially improving the level of care that’s provided to the patients. Not a good mix,†he said.
The sale is expected to close Sept. 30 with a possible 30-day extension.
As part of the deal, the company has agreed to build three to five new facilities to replace aging facilities and source the materials and labor from West Virginia, Morrisey said.
Morrisey said the state continues to pursue the potential sale of its other facilities, which include Mildred Mitchell-Bateman Hospital, Welch Community Hospital and William R. Sharpe Jr. Hospital. The long-term goal is to eliminate most of the need for the state’s Department of Health Facilities, he said.
“It’s no secret that I want to reduce the number of departments and reduce the number of agencies to drive efficiency,†he said. “So in consultation with the Legislature, I will be happy to have those conversations and look at different ways we can keep saving resources.â€
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