Crozer-Chester and Springfield Hospitals Sold Via Auction

Rep. Leanne Krueger October 14, 2025 | 3:52 PM

On Friday, the judge in Texas overseeing the Crozer Health bankruptcy case approved Prospect’s motion to “abandon” Crozer-Chester and Springfield Hospital if sales of those buildings don’t go through. Prospect, the California-based hedge fund that took Crozer Health into bankruptcy, scheduled an auction of both properties for last Friday afternoon after receiving multiple bids. Prospect said during the hearing that the starting bid for Crozer-Chester Medical Center was $7 million, and the starting bid for Springfield Hospital was $3 million. I have heard unofficial reports that the auction was successful and there are now buyers for both properties as of yesterday afternoon.

In a motion filed close to midnight our time last night, Prospect disclosed in the motion that the successful bidder for Crozer-Chester Hospital is Chariot Allaire Partners LLC with a bid of $10 million. The successful bidder for Springfield Hospital is Restorative Health Foundation and Syan Investments with a successful bid of $3 million.

Interested parties have five business days from today to object to the proposed sale of Crozer-Chester Hospital. For Springfield Hospital, since the overall purchase price was only $3 million, it falls within the de minimis asset sale procedures under §363 of the Bankruptcy Code so only notice of the sale to interested parties is permitted based on what the court has authorized for the dollar amounts required for de minimis procedures in Prospect’s bankruptcy case.

If you want to follow the bankruptcy case more closely, WHYY reporter Kenny Cooper wrote a story summarizing Friday’s hearing on the abandonment motion. Harold Brubaker at the Philadelphia Inquirer also wrote a thorough update about the buyers this afternoon.

Prospect Medical Holdings has created a website with information that includes court documents and hearing dates, including a link to watch the upcoming hearings: https://cases.omniagentsolutions.com/?clientId=3725 and https://us-courts.webex.com/meet/jerniga

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