Walgreens Announces Plan For In-Store 'Primary Care Clinics'

ACROSS CONNECTICUT — Walgreens is planning to add what it is calling "primary care clinics" to as many as 700 of its U.S. stores over the next few years in a major expansion of its customer care service offerings.

The pharmacy chain said Wednesday the expansion is a collaboration with VillageMD to set up doctor-operated clinics that also feature nurses, social workers and therapists to provide "regular" treatment for patients.

Stores will be redesigned to accommotate clinics measuring about 3,300 square feet each, with some as large as 9,000 square feet. They will "optimize" existing space in the store, which will also still provide a "vast range of retail products to customers."

About 30 unnamed U.S. markets will be affected, according to the announcement.

The clinics will accept a wide range of health insurance options, and offer "comprehensive primary care across a broad range of physician services." Additionally, 24/7 care will be available via telehealth and at-home visits. More than 50 percent will be located in "health professional shortage areas" and "medically underserved areas/populations," as designated by the U.S. Department of Health and Human Services.

Under the terms of the new agreement, WBA will invest $1 billion in equity and convertible debt in VillageMD over the next three years, including a $250 million equity investment to be completed Wednesday. Of WBA’s investment, 80 percent will be used by VillageMD to fund the opening of the clinics and build the partnership, including integration with Walgreens digital assets.