November 1, 2025 Governor Patrick Morrisey Announces Completion of Sale of State’s Long-Term Care Facilities ...

CHARLESTON, W.Va. - Governor Patrick Morrisey today announced that the sale of West Virginia's four state-owned long-term care facilities has been finalized, with Marx Development Group (MDG) now taking over ownership and MDG subsidiary Majestic Care taking over operations.

"This marks an important milestone in our work to strengthen healthcare services and modernize the state's operations," said Governor Morrisey. "West Virginia patients can look forward to enhanced care, modernized facilities, and a commitment to quality care. This is another step forward in improving care outcomes for our patients while protecting taxpayer dollars."

"Throughout his administration, Governor Morrisey has been instrumental in supporting strategic actions and economic initiatives that increase the efficiency of State government, provide economic opportunities for local communities, and improve the quality of life for the citizens of West Virginia," added Michael J. Caruso, Cabinet Secretary for the Department of Health Facilities. "The sale of the long term care facilities is the perfect amalgamation of those goals, representing an unprecedented opportunity for the State."

The $60 million sale includes the Hopemont Hospital, Jackie Withrow Hospital, John Manchin Sr. Health Care Center, and Lakin Hospital. MDG has committed an additional $80 million to make major investments in West Virginia by building at least three new long-term care facilities, using local labor and materials wherever possible.

Additionally, Marx Development Group has agreed to continue the leasing agreement with FMRS Health Systems and the Division of Corrections and Rehabilitation (DCR) located on the Jackie Withrow Hospital property for a term of two years. At the conclusion of the two year term, the parties have the option to renew the lease on an annual basis for an additional five years if both parties agree to the extension.

All employees of the four long-term care facilities have the opportunity to continue their employment with the new ownership at the same compensation and tenure being fully recognized by the new company.

Before the sale, the state-operated facilities were running at a loss of about $6 million per year, with future costs projected to continue rising from the current level of around $40 million per year.

Governor Morrisey said the process has been guided by a single goal: improving care for patients.

"From the very beginning, this process has been about one thing: providing better, more consistent, and higher-quality care for West Virginians who rely on these facilities," said Governor Morrisey.