In the latest divestment from Community Health Systems, it has sold Crestwood Medical Center in Alabama for $450 million to Huntsville Hospital Health System.
Community Health System has been shedding hospitals for years to balance its portfolio and generate $1 billion in proceeds. In 2024, the publicly traded system sold four facilities, including Tennova Healthcare-Clarksville in Tennessee, which was purchased by Vanderbilt University Medical Center for $750 million.
Based in Huntsville, Alabama, Crestwood Medical Center offers a wide range of medical services to the Huntsville community and the surrounding region. For the 12 months ended June 30, 2024, it generated $262.8 million in net patient revenue and approximately $50 million in EBITDA.
Huntsville Hospital Health System is a not-for-profit community health system governed by the Health Care Authority of the City of Huntsville. The system has 14 hospitals, nearly 2,600 hospital beds and 20,000 employees.
The acquisition is expected to close early in the second quarter of 2026, subject to customary closing requirements. The acquisition includes the Medical Center, the Crestwood free-standing emergency department in Harvest, and other associated assets, including outpatient services and clinics and certain ambulatory interests.
According to data captured in the LevinPro HC database, this transaction marks the fifth Hospitals acquisition of the year, and the first in Alabama. There were 70 Hospital transactions reported in 2025 and 75 in 2024. This also marks the largest Hospitals deal of the year, so far, by purchase price.
