In early March, Memphis, Tenn.-based Regional One Health received certificate-of-need approval from the Tennessee Health Facilities Commission to build a $900 million hospital in Memphis, roughly a half mile from the system’s existing Regional Medical Center, which is Tennessee’s oldest hospital.
“Our hospital is old,” Reginald Coopwood, MD, president and CEO of Regional One Health, told Becker’s. “We have 1940s buildings, ’50s buildings, ’70s buildings and ’80s buildings that we’re currently taking care of our patients in [that are] well beyond their useful life.”
Dr. Coopwood, who has served in his current role for 16 years, said Regional One’s trauma center was built for around 4,000 patients, but currently serves around 12,000 annually. The new hospital will have approximately 315 to 350 beds, similar to the roughly 320 beds at its current hospital, but it will be designed from the ground up for modern care.
The project is also expected to bring nearly $892 million in economic growth by 2027 and create around 3,600 construction and secondary jobs, delivering more than $37 million in state tax revenue.
“We want to see that this investment will kick start things that create growth and bring in other businesses to be able to do it,” he said. “Having a first-class trauma center and burn center is something that companies want to see in the communities that they are. We want to be the impetus for that change.”
The project is moving through its schematic design phase for drawing and designing the facility, which will run through approximately August. Dr. Coopwood said groundbreaking probably won’t occur until roughly 12 months from now.
Financing the project has been a significant undertaking for Regional One Health, which operates as a public hospital.
“We don’t have billions in the bank,” Dr. Coopwood said. “We’re working with our county to secure the funding in order for us to build this hospital that every day gets more and more expensive.”
Dr. Coopwood said he plans to recommend the existing core hospital building, a county-owned facility, be demolished, as it’s “no longer useful.” However, outpatient facilities on the campus will remain.
Looking toward future growth, Dr. Coopwood said Regional One Health plans to expand its cancer presence even prior to the new hospital opening.
“[It’s] not because we want to be profitable off of cancer, but there is a significant need to better address the cancer outcomes that we have in this community, as well as diabetes and obesity,” he said. “We’re looking to put together programmatic things that will address some of the significant needs in our part of the community.”
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