The renovated hospital in Wauwatosa would be a 50-bed inpatient facility offering physical, occupational and speech therapy. It also would include imaging, laboratory and pharmacy services.
An attached medical office building would house outpatient dermatology services and skin cancer surgical services.
Froedtert purchased the building for $25 million in 2018, two years after the previous owner closed the hospital.
The specialty hospital is slated to open in July 2022.