Monday, August 26, 2019

Fresenius Clinic Coming to Belle Meade/Flowood Area



Construction at the former Fire Mountain Grill/Knock Out Fitness is in preparation for a new Fresenius Clinic.

Fresenius operates kidney care and dialysis clinics. Fresenius is a German company although some shares trade directly on the NYSE under symbol $FMS.  Fresenius operates approximately 2,400 facilities in North America and there are 6 other facilities within 10 miles of Flowood.

Requests to Fresenius for more information are pending but since Mississippi still requires certain healthcare facilities to obtain a certificate of need, there is an interesting document available below that supports the approval of the CON application and essentially confirms the future use of the property.
A few interesting notes from the above report:

  • The facility is estimated to generate gross patient revenue of $3.3MM in the first year with approximately 71% of that revenue generated by Medicare and approximately 26% from commercial sources. 
  • The facility's assumed charge per procedure is $712 while the corresponding assumed cost per procedure is $543 in the first year.  
  • Total proposed capital expenditures were $3,865,678 with $975k attributable to land cost.  

This seems like a good project and investment in the area that turns a vacant building into productive use and makes life a little bit easier and convenient for Rez area Fresenius patients.

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