Riverside has been working for eight years to gain approval for the new facility, which it has named Doctors Hospital of Williamsburg and was previously denied approval on two occasions.
The new 40-bed facility was opposed by Sentara Williamsburg Regional Medical Center, which claimed that its facility is operating under capacity
Riverside plans to close 60 beds and an operating room at Riverside Regional Medical Center in Newport News to better distribute services, according to the report.
Construction on the new facility will begin in 2010.
Read the Daily Press report on the Riverside hospital approval.
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