Earlier today Elk Grove city leaders and California Northstate University officials announced a new hospital would be built in Elk Grove. The California Northstate University Medical Center will be the first hospital in the City of Elk Grove. The hospital will be located near Interstate 5 and Elk Grove Blvd, adjacent to the California Northstate University complex. The press conference was live streamed on the Elk Grove Laguna Forums Facebook Page.
Flanked by city and community leaders, Northstate CEO Dr. Alvin Cheung, made the announcement that the nearby medical university would be expanding and adding a 250 bed teaching hospital. “California Northstate University Medical Center hospital will serve the critical medical needs of the Elk Grove community and Sacramento region with the highest quality care,” said CNU CEO
& President Dr. Alvin Cheung. “It will have a profound and lasting impact on our community, giving patients easy access to care, while creating jobs, improving public safety and reducing the traffic that has become a central issue in Elk Grove.”
“California Northstate University has been a strong community partner in Elk Grove for years,” said Elk Grove Mayor Steve Ly. “We are excited about the potential that this project has for generating improved access to health care for our residents and more jobs within our community. With a population expected to exceed 200,000 residents within the next ten years, it’s time for Elk Grove to have its own hospital.” “There is a review process that must occur but this can be a win-win and a great asset for Elk Grove, providing easier access to health care by reducing the need to travel long distances and creating quality local jobs,” said Elk Grove City Councilmember Darren Suen.
The cost of the project is estimated at $750 million dollars. It is expected to add 24,000 jobs over 10 years and produce $4 billion in economic impact for the region. The new hospital will also include a Level II trauma center. Kaiser South also operates a Level II trauma center. The plan for the hospital will now move to the city for public meetings and approval by the city council. Construction is anticipated to start in 2019 and be completed by 2022.
While city leaders were touting the benefits of the new hospital, local business owners in the path of the new hospital were blindsided by the announcement. The nearby Stonelake Landing shopping and dining area was purchased by the university for $12.65 million nearly one year ago. Two local business owners contacted Elk Grove Laguna Forums for more information on the proposed plan to see if they would be impacted. According to plans obtained from the city of Elk Grove planning department, nearly all of the shopping center area will be taken down with the exception of Oz Korean BBQ, a Shell gas station and Carls Jr fast food. Those three buildings are owned separately. Part of the new hospital plans include a parking garage with retail on the first floor. Some of the affected businesses may be able to move into the new area. No word on the time table for closing the existing businesses and the opening of the new retail area. The landlord and the city have pledged to work with affected businesses to find other suitable locations in the city.