Veronica PiscitelliFlorida State University (FSU) has shared its plan to build an acute care hospital, under the FSU Health name, in Panama City Beach, Florida. The more than $400 million project is intended to improve access and innovation in health and health care in northwest Florida. The state-of-the-art medical facility would serve residents of Bay and Walton counties with a wide range of medical services.
The FSU Health project is estimated to cost $414 million, which will come from bond funding. The project was first approved on March 26 by FSU’s 13-member Board of Trustees. Following their approval, the Florida Board of Governors, a 17-member board responsible for the operation and coordination of the state’s 12 public universities, also agreed to the project. The project is now pending approval by the State of Florida.
The hospital would be constructed on an approximately 16.5-acre site donated by The St. Joe Company at 1002 North Arnold Road at the intersection of Highway 79 and Philip Griffitts Senior Parkway. It would be in the same medical district and adjacent to the new Medical Office Building which opened in July 2024.
In its first phase, the hospital would accommodate up to 180 beds and would offer a range of health care services, including emergency medicine, general surgery and diagnostic imaging. Specialized services including cardiac care, neurology and orthopedics would come later in development. FSU President Richard McCullough spoke highly of the upcoming project.
“We are creating a state-of-the-art facility that will meet the community’s needs, support local physicians and prioritize an outstanding patient experience, enhancing the overall health and well-being of our residents.” McCullough said.
Tallahassee Memorial HealthCare (TMH) is expected to operate the hospital, pending approval by the city of Tallahassee.
“This collaboration with FSU represents an exciting step forward in expanding high-quality health care services … by combining our expertise and resources, we are ensuring this growing community has access to top-tier medical care, both now and in the future,” TMH President and CEO Mark O’Bryant said.
To ensure high-quality providers, the hospital’s plans also include an Academic Clinical Collaboration Agreement. This key component governs future clinical research and medical education programs at the facility. It also creates opportunities for FSU’s graduate medical education initiatives and students in the surrounding region. Additionally, the agreement will improve the much-needed development of health care professionals in the area.
The St. Joe Company President, CEO and chairman Jorge Gonzalez underscored the benefits of the Academic Clinical Collaboration.
“FSU Health meeting a critical need for more health care options in tandem with education and research opportunities for students is transformative for the region,” he said.
The FSU Health hospital design and planning is just one step in the school’s commitment to improving health care in North Florida. FSU has met other milestones, including launching FSU Health in 2022 and building an academic health center on the TMH campus, which is set to open in 2026.
Construction of the Panama City Beach hospital would begin soon, with a targeted opening date sometime in 2028.
Hospital rendering courtesy FSU
