SSM Health will build a $550 million academic medical center, the St. Louis-based system announced Monday.
The 316-bed hospital will replace St. Louis University Hospital, which SSM acquired in September 2015 from Tenet Healthcare Corp. The system planned to replace the 356-bed facility when it purchased it as part of a five-year plan.
The 20-hospital system will also build a new outpatient center with expanded surgical units. Both the hospital and outpatient center will be adjacent to the current St. Louis University Hospital.
The system plans to break ground for the new facility in fall 2017, with completion by September 2020, according to a news release. The new facility will have all private patient rooms, larger intensive-care units and a larger emergency department. Dedicated educational space will also be included throughout for St. Louis University students.
SSM has reported growing margins in recent years under the leadership of CEO William Thompson. The system reported $5.4 billion in revenue in 2015, a $2 billion increase since 2011.
Thompson announced earlier this month that he will retire next year after more than 36 years with the system.