Two of North Carolina’s leading health systems are joining forces to create the state’s first freestanding children’s hospital. Backed by an initial $320 million in state funding, UNC Health and Duke Health filed incorporation papers to establish NC Children’s, a new private, tax-exempt organization that will build and operate a 500-bed children’s hospital and comprehensive pediatric health system.
The project is expected to cost approximately $2 billion overall. When completed, the new hospital will include a children’s outpatient care center and behavioral health facility. The partners are currently evaluating potential sites in North Carolina’s Research Triangle region for the 100+ acre medical campus, with a preference for a central location in the Triangle. The new facility would be larger than the existing children’s units at UNC’s hospital in Chapel Hill, Duke’s in Durham and WakeMed in Raleigh.
This public-private partnership marks a significant shift in how states are approaching specialized pediatric care infrastructure. While many major metropolitan areas already have dedicated children’s hospitals, North Carolina — despite being the 9th most populous state — has historically provided pediatric care through children’s units within larger hospital systems.
The new hospital aims to expand access for families to receive specialized treatment without leaving the state. The campus will include ambulatory surgical facilities, medical offices, rehabilitation centers, and research spaces, along with supporting infrastructure like hotels and retail.
“There is a great deal of mutual respect between our institutions, and we both want the same thing for the children of North Carolina – the best care, close to home,” said Wesley Burks, CEO of UNC Health and dean of the UNC School of Medicine.
Craig Albanese, CEO of Duke University Health System, described the initiative as a “tremendous and unique opportunity” that would work to “reimagine how we deliver life-changing care to our region’s most vulnerable.”
The new organization will consolidate pediatric clinical services from both health systems while maintaining academic affiliations with both medical schools.
NC Children’s will operate with an open medical staff model, allowing qualified providers to apply for privileges regardless of university affiliation. Current pediatric providers from both Duke and UNC will be able to maintain their existing academic appointments while practicing at the new facilities. This structure is designed to attract top pediatric specialists and researchers while expanding training opportunities.
As the project moves forward, the partners will need to select a site, secure additional funding beyond the state’s initial investment, and navigate regulatory approvals before breaking ground.
The partners expect to start building the campus by 2027, with construction estimated to take approximately six years. While the main hospital is projected to open in the early 2030s, some facilities like the behavioral health hospital and ambulatory surgical center may begin operations earlier.
Image by Sasin Tipchai from Pixabay