The growth and development of facilities in the Memphis Medical District, which for decades has progressed in relatively quiet fashion, suddenly has exploded. The area on the eastern edge of downtown is teeming with construction, the result of a number of healthcare corporations and academic institutions investing billions in renovations and new buildings.
The investments range from a master renovation and expansion of the University of Tennessee Health Science Center (UTHSC) campus during the next 10 years, a $280 million modernization project for Methodist University Hospital and a $1 billion capital expansion by St. Jude Children’s Research Hospital.
Additionally, expansion and renovations are underway at the Memphis VA Medical Center and Le Bonheur Children’s Hospital.
The activity is well timed, according to Kelly Truitt, executive vice president of the Memphis office of CB Richard Ellis, the world’s largest commercial real estate services firm.
“Many of the projects in the Medical District are focused on the modernization and renovation of existing, older facilities,” Truitt said. “They’ve needed significant improvements for some time. The institutions are responding to the needs of the community to improve the patient experience.”
Methodist Renovation Underway
Methodist Le Bonheur Healthcare’s expansion and renovation plans mirror this current trend.
“We have some of the oldest buildings in the area, which were built in the 1960s,” said Dave Rosenbaum, vice president of facilities management. “It’s time to upgrade these facilities and provide 21st-century care for our patients and medical staff. “
Construction is underway on a 430,000-square-foot tower and outpatient building on the Methodist University Hospital campus. The tower will house 204 patient rooms, 20 new operating rooms and surgical suites and an imaging center. A new outpatient services building, which will be connected to the tower, will be used for oncology and transplant purposes. The entire project, including the renovation of several support services areas in the existing hospital, is expected to be complete by 2019.
Another part of Methodist’s capital expansion is the addition of its new parking plaza, which opened in January. The 750-car parking deck adds 100 parking spaces to the campus for patients, families and medical staff.
Another project in Methodist’s pipeline is the $27 million and 20,000-square-foot expansion to Le Bonheur Children’s Hospital. According to Rosenbaum, the project will expand the hospital’s outpatient surgical area by adding six operating rooms to the second floor. The first floor will house a dental clinic and central sterilization area where surgical instruments are sterilized prior to surgery. Rosenbaum said construction is expected to begin in the summer, and the project will take 18 months to complete.
VA Completes Expansion
This month, the Memphis VA Medical Center will open a 5,880-square-foot expansion to its emergency department. The $5.1 million expansion consists of three new exam rooms, four exam and observation rooms, two additional fast track rooms, two mental health observation rooms, a phlebotomy and electrocardiogram area and new pharmacy.
The exterior portion of the project is expected to be complete by April 2018, according to Sheena House, engineering service chief for the Memphis VA Medical Center.
Additionally, construction is underway on an 18,000-square-foot expansion to the hospital’s front entrance. Part of the $7.2 million project is a 3,900-square-foot renovation of the lobby.
“This area will be a one-stop shop for our veterans who come to the medical center,” House said. “Right now certain services are scattered throughout the building. Now these services will be relocated to one area. It makes it more accessible and convenient for our veterans.”
House said the VA plans to build a three-story parking garage at the corner of Pauline Street and Poplar Avenue. The garage will add 184 parking spaces for patients. The project is under design currently, and House expects the project to be complete in the spring of 2019.
UTHSC Growth
Several projects are in the final phase of construction at UTHSC. The Plough Center for Sterile Drug Delivery Systems, a $36 million and 50,000-square-foot, one-story building, is expected to be complete in June. It will produce small-batch drugs in injectable and semi-solid dosage forms for preclinical, phase 1 and phase 2 clinical trials.
Dr. Ken Brown, executive vice chancellor and COO of UTHSC, said the building will then undergo a commissioning process by the Food and Drug Administration to be licensed for operation.
“There aren’t enough research facilities in the country to do these types of preclinical trials,” Brown said. “We can manufacture the drugs right here, and we have the clinical and research capacity to do those preclinical trials, so hopefully this will expedite new drugs getting to market. Our main concern is that these drugs are manufactured in a safe environment and under FDA-sanctioned conditions.”
The Interprofessional Simulation and Patient Safety Center, a new, $36 million, 100,000-square-foot, three-story building, is expected to be complete in August. The center will allow students from six colleges to train in simulation settings to develop skills in team-based healthcare using high-tech manikins and actors who portray patients with a variety of conditions.
Additional projects on the horizon for UTHSC are a $70 million renovation of three buildings, built in the 1920s and '30s, in its historic quadrangle section of the campus. One building, the Mooney Library, which has been vacant for 20 years, will become a refrectory.
and general administration building. Another building will be renovated to house the College of Nursing and another will become home for basic sciences such as physiology. According to Brown, a general contractor will be selected by May 2018.
Another future project under design is a $47 million dental building for the College of Dentistry. The new dental facility will house faculty offices and the university’s dental faculty practice, which will expand the clinical footprint in the current dental building on campus.
Additionally, UTHSC plans to renovate a current facility on Dunlap Street to house an operations center. The $10 million project includes security upgrades such as video surveillance and software.
Regional One Plan
Regional One Health plans to build a 20,000-square-foot innovation center. The structure will house post acceleration entrepreneur teams specializing in medical device products and a new conference center.
The hospital is raising funds for the building through its foundation and, according to Scott Vogel, executive director of the Regional One Health Center for Innovation, it is hoped the design of the facility can begin in the summer of 2018.
Progress at St. Jude
St. Jude Children’s Research Hospital’s $9 billion strategic development plan includes the St. Jude Graduate School of Biomedical Sciences, new in-patient units for the hospital, a new data center, outpatient facilities, a clinical office building, a new research building and new housing for patients.
According to Stephen White, D Phil, dean of the St. Jude Graduate School of Biomedical Sciences and chair of the structural biology department, classes will begin at the new graduate school on July 31. Construction on the medical data center building is expected to be complete in May. John Curran, director of design and construction at St. Jude, said the building will be operational by January of next year.
These long-term capital investments by healthcare entities have leveraged revitalization efforts to bring in new retail and residents to the community in the medical district.
In addition to facility renovations and upgrades, UTHSC announced recently that it plans to build new apartments on 10 acres in the district. Brown said the apartments will be for UTHSC faculty, staff, students and the general public.
Commercial Projects Discussed
Also, the Memphis Medical District Collaborative, a non-profit entity that consists of several key officials from various medical institutions in the medical district, is working on commercial and residential development in the area surrounding the medical district.
“We want to strengthen the communities in between the anchor institutions in the area,” said Tommy Pacello, president of the Memphis Medical District Collaborative. “There are billions of dollars being spent on renovating and expanding the medical institutions, and 24,000 people either work or go to school in the area. Our focus is the space in between the campuses. We want to create a cohesive sense of place. Midtown and downtown have seen a renaissance of sorts over the last several years. It’s time to invest in the infrastructure here. Our goal is to have people work, study, live and shop here.”
Pacello said the collaborative wants to leverage what the institutions are spending by offering incentives for people to move to the medical district through forgivable loans via its Live Local 901 incentive program. Pacello said the collaborative has received 160 applicants for the program.
Ties to Gateway Project
Additionally, the Bicentennial Gateway Project, named for the city’s 200th birthday in 2019, plans to tie together several large developments.
Already in the works:
- $1 billion capital investment by St. Jude, part of a total $9 billion investment over a six-year period that will create 1,800 jobs and increase the number of patients treated by 20 percent
- Renovation of the Cook Convention Center, Pinch and Uptown district improvements
- Redevelopment of Mud Island River Park and the riverfront.
“There are many investments in the Bicentennial Gateway Project to make this a reality, especially with the Uptown Redevelopment Project,” Pacello said. “It starts by connecting people from the medical district to the pinch to downtown. We are excited to have a seat at the table to help accomplish this.”
RELATED LINKS:
Memphis Medical District Collaborative
St. Jude Children's Research Hospital
University of Tennessee Health Science Center
