WE Energies has sold its small coal-fired power plant in Wauwatosa to a subsidiary of Milwaukee Regional Medical Center for more than $12.2 million.
The two entities finalized an agreement to sell the plant, which is located on nine acres at 9250 Watertown Plank Road, in May 2015. The plant was purchased by MRMC Thermal Service Inc. this week, according to state records. The price of the taxable property on the site was $12.2 million, but WE Energies spokesman Brian Manthey said the total sale price was a larger undisclosed figure.
It produces steam and chilled water for Froedtert Hospital, the Medical College of Wisconsin, Children’s Hospital of Wisconsin, and the other buildings on the campus.
Bob Simi, executive director of MRMC, said the specialized needs of the campus make it important to be able to directly manage these services.
MRMC Thermal Service plans to convert the existing power plant to burn natural gas instead of coal and has contracted with Ever-Green Energy Inc., an independent provider, to operate and manage the plant.
Under the agreement, MRMC also acquired the existing steam and chilled water distribution system that serves the MRMC campus.
Manthey said the company will continue to supply electricity and natural gas to the customers at the MRMC campus.
“The sale of the plant will not affect our ability to provide reliable power to our customers,” Manthey said. “We are pleased to have completed the transaction.”
