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Mayo Clinic to Double Size of Phoenix Campus, Expand Florida Medical Center

Construction Booms Amid Rising Health Care Demand
September 14, 2018
Mayo Clinic is adding 1.3 million square feet to its campus in Phoenix's Paradise Valley.

Nonprofit medical provider The Mayo Clinic plans almost $800 million in construction projects at its two major Arizona and Florida campuses, including almost doubling its Phoenix facilities, to meet rising health care demand from aging baby boomers and other patients.

The expansions are part of a multi-year growth plan for the Rochester, Minnesota-based clinic, which reported 9 percent growth in revenue last year to almost $12 billion and treated 1.3 million patients coming from every U.S state and 136 countries last year.

The medical center, founded during the Civil War, focuses on general practice medicine and academic research. Its two major campuses, in Arizona and Florida, are the largest of its locations outside its Rochester headquarters.

Mayo Clinic of Arizona, which began treating patients 30 years ago, plans to spend $648 million in the next five years to almost double the size of its campus. It is scheduled to add 1.4 million square feet of clinical facilities and support services to its 1.7 million-square-foot North Phoenix campus near Loop 101 and 56th Street in Paradise Valley.

"We have seen a steady increase in patients, not only from around the valley, but the state of Arizona, southwest, nationally and even internationally," said Wyatt W. Decker, vice president and chief executive of Mayo Clinic in Arizona.

The Phoenix expansion will add almost 100 patient beds for a total of 374 by 2023, and create nearly 2,000 jobs, including about 200 doctors, within 10 years. The project includes a new six-story patient tower, a three-floor addition to the main four-story Mayo Clinic building, a new three-story building to house an expanded emergency department and other services and more parking.

Mayo Clinic - in addition to building a medical school, the Southwest's first proton-beam therapy facility and other regenerative medical facilities - has grown its Phoenix presence into one of the largest U.S. organ transplant centers.

Arizona Gov. Doug Ducey said Mayo Clinic has propelled the state's health care and bioscience industries, and the expansion "will further secure Arizona as a global destination for excellence in health care."

Mayo Clinic also last week announced two projects totaling $144 million at its 400-acre campus in Jacksonville, Florida, including construction of a five-story 120,000-square-foot addition with links to the main clinical facilities on San Pablo Road.

Bolstered by its strong financial position, the clinic added $714 million in capital projects as part of a multiyear investment plan for facilities, equipment and technology, according to its 2018 report and mission statement. It also contributed $535 million to its pension plan.

Mayo Clinic started construction this year in its headquarters city of Rochester on the first 80,000 square-foot building of Discovery Square that is part of the 2 million-square-foot Destination Medical Center, an "innovation campus" for scientists and collaborating companies and organizations. Destination Medical Center is the largest public-private partnership in Minnesota history and is projected to generate 30,000 jobs over the next 20 years, according to the company.

Mayo Clinic, recently the subject of a film by documentary filmmaker Ken Burns, employs 63,000 people at its flagship hospital in Minnesota, major campuses in Arizona and Florida and affiliated clinics in Wisconsin and Iowa.

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