Oak Street Health Purchases Medicare Operations of CityLife Neighborhood Clinics in Philadelphia

PHILADELPHIA, Sept. 6, 2018 /PRNewswire/ -- Oak Street Health, a network of primary care centers providing a new model of value-based healthcare to Medicare-eligible adults, has purchased the Medicare operations of CityLife Neighborhood Clinics. Oak Street Health's rapid growth, and recent entry into the Philadelphia market, are a clear indication of the demand for a healthcare model built around quality of care, rather than quantity of visits.

Oak Street Health is now serving patients with Medicare and Medicare Advantage plans at CityLife's centers located in the Fern Rock, Lehigh Avenue, University City and Cobbs Creek neighborhoods. CityLife will continue to serve Medicaid members at its Lehigh Avenue and Cobbs Creek neighborhood locations and through its Medicaid Health Solutions Platform.

Oak Street Health's innovative care model uses a preventative approach to keep patients happy and healthy and out of the hospital. Its physicians spend twice as long with patients than the national average, contributing to a 40 percent reduction in hospital readmissions. Patients also receive access to services outside of primary care, including behavioral health services, social events, transportation to and from appointments and for patients who qualify, social support services and pharmacy services.

"As we expand into Philadelphia, we identified a unique opportunity to address increasing demand for our value-based offerings," said Amyn Andharia, Regional Vice President at Oak Street Health. "We are excited to leverage CityLife's experience in Philadelphia to help us bring our patient-centric model to this market using locations and a team that local citizens already visit, know and respect. We look forward to serving the Philadelphia population to provide the highest level of care for our patients in these neighborhoods."

Oak Street Health does not anticipate any immediate changes to the day-to-day operations with the acquisition. The company expects that approximately 50 CityLife team members in the Philadelphia market, who are primarily responsible for the care of Medicare members, will be employed by Oak Street Health, and roughly a dozen team members focused on Medicaid members will remain employed by CityLife.

"We're excited to work with an organization that shares our same values and mission," said Eli Diez, Market Operations Leader for Ampersand Health, parent company of CityLife. "We look forward to sharing our deep understanding of the Philadelphia community and building on our success in the market through Oak Street Health's enhanced care model. Together, we can improve the lives of Medicare and Medicaid members in our community and provide the best healthcare experience in the market."

This acquisition comes on the heels of Oak Street Health's market entry into Philadelphia with three centers to be located at the following addresses:

• 5050 Parkside Ave, Philadelphia, PA 19131
• 2401 W Cheltenham Ave, Wyncote, PA 19095
• 3621 Aramingo Ave, Philadelphia, PA 19134

With the acquisition, Oak Street Health will have seven locations in Philadelphia and 40 other locations across Pennsylvania, Illinois, Indiana, Ohio and Michigan in 2018. Oak Street Health will ultimately create hundreds of job opportunities in Philadelphia in order to provide high quality healthcare to local residents.

The locations that Oak Street Health newly obtained are located at the following addresses:

• 1251 W. Spencer Street Philadelphia, PA 19141
• 1010 W. Lehigh Avenue Philadelphia, PA 19133
• 3945 Chestnut St Philadelphia, PA 19104
• 6232 Market Street, Philadelphia, PA 19139

For more information about Oak Street Health, visit www.oakstreethealth.com.

About Oak Street Health
Oak Street Health is a rapidly growing company of primary care centers for adults on Medicare in medically underserved communities where there is little to no quality healthcare. Oak Street's care is based on an entirely new model that is based on value for its patients, not on volume of services. The company is accountable for its patients' health, spending more than twice as long with its patients and taking on the risks and costs of their care. Oak Street Health has been investing in communities since 2013 ? providing much-needed primary care for tens of thousands of people.

Media Contact:
Kyle Rall
Walker Sands Communications
312-964-9114
[email protected]

SOURCE Oak Street Health