The hospital, which has been vacant since 2014, sits on 17 acres and has a 35,000-square-foot building.
The financial terms of the acquisition were not disclosed and the health system has yet to state its plans for the facility.
Franciscan Health currently operates 14 hospitals in Indiana, according to the report.
More articles on transactions and valuations:
10 recent hospital transactions and partnerships
Tower Health paid $418M for 5 former CHS hospitals
Hearing on sale of bankrupt North Carolina hospital postponed after 5 organizations raise objections