By KEVIN NEVERS

The Sisters of Saint Francis Health Services Inc., the operator of St. Anthony Memorial Health Care Centers, today closed its purchase of the old Jewel/Osco property on Indian Boundary Road, and all systems are now go to build on the site a $20 million free-standing emergency department.

The Sisters purchased the property—vacant and virtually blighted for the last seven years, since Jewel/Osco re-located across the street—from LZK LLC, whose principals Jeff Katz and Jim Lyons have been heavily involved in development and re-development up and down Indian Boundary Road.

But the St. Anthony Memorial emergency department looks to be the most significant re-development project in Chesterton in years.

Dr. Jim Callaghan, president of the St. Anthony Memorial and the Sisters, told the Chesterton Tribune today just before deadline that the first step in the process will be to liaise with the Town of Chesterton and determine what special permitting, if any, will be required.

Callaghan was unable to say when exactly the old Jewel/Osco will be demolished but it may not be immediately. “We expect to start construction in the spring, and demolition is up to the construction and planning folks. We want to time it well.”

Callaghan was also unable to say what exactly would be demolished. Certainly the whole of the former grocery space itself, he said, but “possibly we may facelift the other mall points, the other establishments,” with a view to leasing them, either for medical or more general commercial uses.

At the moment two firms are working on design plans, Callaghan added, but a final plan has not yet been chosen. Tonn & Blank Construction of Michigan City, a subsidiary of the Sisters, will do the actual building.

The facility will be staffed by board-certified emergency medicine physicians 24 hours a day, seven days a week. It will also include offices for physicians both in primary care and specialty medicine—some of them moved from the Duneland Health & Wellness Institute at 810 Michael Drive—as well as diagnostic imaging services and an on-site laboratory.

The facility is scheduled to open for business in January 2010, Callaghan said. “We’re thrilled that the deal is closed. Even since we announced the project, this summer, the people of Chesterton have really embraced the idea of our doing this. We plan to deliver and provide an excellent 24-hour medical facility.”

“We’re happy for the community that a vacant building can finally be put to productive use,” Katz for his part said.

Posted 9/25/2008