Kindred Healthcare and Mercy Iowa City have signed a definitive agreement and set up a joint venture to build and operate a 40-bed inpatient rehabilitation hospital in Coralville, Iowa.

Iowa State Health Facilities Council has granted Certificate of Need approval to this project.

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Kindred will be responsible for the hospital’s everyday operations.

Upon receipt of regulatory and other approvals, the hospital is expected to open by the second quarter of 2020.

Kindred Healthcare division Kindred Rehabilitation Services president Jason Zachariah said: “We look forward to partnering with Mercy Iowa City to build and operate this facility, our second hospital with Mercy in the state of Iowa, to address the growing need for inpatient rehabilitation services in the state.

“Kindred is proud to create a quality-focused partnership with another leading healthcare system and we are excited to broaden our post-acute care offerings. We expect this collaborative effort, like other Kindred partnerships across the country, to deliver the kind of excellent patient care that helps our inpatient rehabilitation business outperform peers in key clinical measures.”

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Mercy Iowa City president and CEO Sean Williams said: “Mercy Iowa City is known statewide for the high quality of care it provides and its leadership role in working with others to meet health needs in not only Johnson County but throughout southeast Iowa.

“We know there is a tremendous need for inpatient rehabilitation care in our service area. By working with Kindred we can provide an extraordinary level of care for patients much closer to home which is beneficial for both the patients and their loved ones. Our partnership with Kindred aligns perfectly with Mercy’s mission to heal, comfort and improve the health of the community in the tradition of the Sisters of Mercy.”

This facility will provide care to adults recovering from conditions such as neurological disease, injury to the brain or spinal cord, stroke and other long-term illnesses.

In June this year, Kindred and Mercy Medical Center – Des Moines opened a 50-bed Mercy Rehabilitation Hospital. This hospital is claimed to be the first and only freestanding inpatient rehabilitation hospital in Iowa.