Best Answer! A country needs enough quality hospitals to provide healthcare facilities to the mass people. But, building a hospital is an expensive project to start. So before jumping on the project, you should have a clear idea about its construction cost.
How much does it cost to build a hospital?
The national cost to build a hospital in the USA is around $60 to $187.5 million, where $400 to $1,000 is the range of per square foot cost. It costs approximately $112.5 million to build a 300k-square-foot hospital. The lowest and highest cost ranges between $52.2 million to $210 million.
However, the cost may vary depending on the hospital’s location, design, infrastructure, types, size, equipment, etc. So the above information isn’t enough to get the answer. Instead, you need more specific information about it. Keep reading this post, as here we’ll discuss everything.
Hospital Construction Cost Breakdown
The UT Southwestern Medical Center stands on a 1.3 million square feet area with 532 beds. This hospital cost almost $800 million when constructed.
Parkland Memorial Hospital is situated in Dallas and costs $1.3 billion. It stands on a 2 million square foot area and has 862 beds for handling severe patients.
Both hospitals are already established and cost a high amount. Now, the cost increases as time passes.
Don’t fear by reading that high figure. Yes, building a hospital is a matter of huge investment. But of course, this is not fixed. So relax, and let’s see a cost chart.
Average Cost To Build A Hospital In the USA
State | Average Cost Per Square Feet |
| Chicago | $360 to $630 |
| Honolulu | $475 to $760 |
| Las Vegas | $285 to $455 |
| Portland, Ore | $380 to $525 |
| Phoenix | $350 to $500 |
| Seattle | $385 to $530 |
| Washington. D.C | $400 to $650 |
| Los Angeles | $470 to $700 |
| San Francisco | $450 to $650 |
| New York City | $475 to $700 |
| Boston | $400 to $650 |
| Denver | $370 to $455 |
Hospital Construction Cost Factors
There are so many things that are directly related to building a hospital infrastructure. Every part is equally important, and there is no scope to ignore anyone. Let’s see some of the factors.
Hospital Size
People suffering from many diseases come to the hospital to take healthcare services. As it is the highest threat of virus and germ contamination, it is a must to keep a distance. And after the COVID-19 pandemic, it is mandatory.
That’s why the average size of a hospital building is 2000 to 2500 square feet. It needs a spacious area to accommodate all the necessary healthcare machines, beds, and people. You have to keep a budget of around $60-$187.5 million for this purpose.
Number Of Beds
There are different types of hospital beds according to their size, shape, and material. The hospital construction cost per bed is approximately $0.5 to $1.5 million.
However, the cost will be determined by how much space a bed needs to keep and how many people are served each year. As baby hospitals need cots, incubators, cribs, and different-sized beds for child and adult patients, this type of hospital needs more beds than other hospitals.
For example, a 50-bed-containing hospital will cost $25 to $75 million, and a 100-bed-containing hospital will cost $50 to $150 million on average.
Equipment cost
A hospital needs different categories of equipment to ensure proper treatment. You have to spend almost 40% of the total cost to arrange all the equipment and machinery. In 2018, it cost around $9.81 million for this purpose. And now, you are living in 2022, so it may cost up to $12 million.
Labor cost
You’ll need a lot of professional help to build a hospital. The average labor cost of hospital building professionals ranges from $30 and $500 per hour. However, the charge rate may vary depending on their skills and experience level. The more skilled they are, the more the hourly rate will be. You have to spend 60% of the budget to give the worker’s salary.
Let’s have a quick overview of which professional you will need and how much they charge per hour.
General contractor: $30 – $80
Concrete Specialists: $60 – $95
Electricians: $40 – $120
Carpenters: $70 – $80
Painters: $40 – $60
Builders: $50 – $100
Structural Engineers: $100 – $500
Plumbers: $45 – $200
Masons: $50 – $70
HVAC Specialists: $100 – $150
Flooring Installers: $5 – $20 per square feet
Architects charge: 8.9% – 20% of project cost
Related: How much does it cost to install a ceiling light with existing wiring?
Average Cost to Build a Hospital by Type
There are mainly 3 types of hospitals depending on their size. Different types of hospitals cost roughly $200 to $625 per square foot.
The purpose of constructing the hospital is another factor that affects cost. For example, the private and premium facilities providing hospitals need modern and updated equipment. But a rural and primary hospital needs the most necessary equipment.
Emergency Hospital Cost
An emergency hospital is a hospital that is built to serve patients who need immediate medical treatment. It should be ready 24*7 to provide medical treatment to the patients. This type of hospital will cost around $200 to $500 per square foot.
Micro Hospital
The hospital, whose goal is to provide healthcare services on a small scale, is mainly known as a micro-hospital. This hospital costs on average $280 to $400 per square foot, and the cost may increase or decrease depending on the number of beds. Generally, this hospital can serve around 30-60 patients per day.
Smart Hospital
Now, we have become very smart because of the blessing of science and technology. So why not, we use this blessing in our healthcare system? When the entire hospital is digitalized and enables the best treatment, that is called a smart hospital. This hospital costs approximately $500 to $625 per square foot.
Related: How much does it cost to build a duplex?
Frequently Asked Questions:
How long does it take to build a hospital?
Building a hospital involves massive planning, professionals, and investment. It takes around 3-6 years to build a hospital if everybody works continuously. But, during construction, the time may increase if any unexpected issue arises.
How much land is needed to build a hospital?
Land requirement depends on the hospital’s size. You will need an average of 300,000 square feet or 3.5 acres of land for a five-story hospital building. Within this land requirement, you have to keep 40% of the land for ground coverage.
How much does marketing cost in healthcare?
Healthcare marketing budgets can vary widely depending on several factors. While 15% of healthcare practices invest upwards of $15,000 annually in marketing strategies developed by experts like Digital Marketing Agency Tampa – Chavez Affiliates, LLC, the majority (62%) allocate 1-5% of their revenue to marketing efforts. This range underscores the importance of tailoring a marketing budget to the specific needs and goals of a practice. Factors such as location, target audience, competition, and desired growth rate all play a significant role in determining the appropriate investment.
How much does a medical-surgery hospital bed cost?
The surgery bed is not the same as other beds. It’s special and slightly expensive. Depending on its quality, a surgery bed may cost $15,000 to $350,000.
Final Words
How much does it cost to build a hospital? It’s not a question that can be answered in one word. But, after analyzing the question from different angles, we have tried to give you the best and closer to accurate figure.
Finally, we suggest considering all those factors and consulting with your nearest and best contractors who have already built hospitals. It will help you to get the current cost structure.
Cycling training tips and camps with Joel Chavez, Pan-American Gold Medalist has been writing about savings and finance since 2016 and analyzes thousands of products to find you the best deal. He will help you save money while you shop. They cover huge products including home, garden, car, business, tech, and many more for making the best financial decision.
2 thoughts on “How Much Does It Cost To Build A Hospital? Best Answer!”