The current hospital boom is the "biggest in half a century" and likely to continue for the next four years. New hospital construction is at an all-time high, according to USA Today. According to Census Bureau data, the industry has spent in the area of $100 billion on new construction over the past five years. Spending is projected to hit a record $23.7 billion in 2006.
The newspaper examines the boom in the construction of new high-tech facilities in major metropolitan markets around the country. Increased competition has led to ambitious expansion plans, especially in California (where a new state retrofitting law has led to a boom) and in the Northeast, where tough competition for market share has led to a surge in new construction. Industry spokespeople say the trend is simply a reflection of market realities and a necessity given the aging condition of many older hospitals built in the 1960s and 1970s and the aging of the baby boomers. Some critics beg to differ, arguing that the spending is unnecessary and will eventually be passed on to customers in the form of higher healthcare costs.
- read this article from USA Today
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