The Mayo Clinic outlined Monday a nearly $1.9 billion plan to expand its Phoenix medical campus, providing a planned 59% increase in clinical space and support for new technologies.
The nonprofit's largest-ever expansion in the state is set to begin this year and aims for a 2031 completion date. It’s part of Mayo’s “Bold. Forward. Unbound.” initiative, which is overhauling physical infrastructure across the system.
In Phoenix, one of Mayo’s two main campuses in Arizona, that means a 1.2-million-square-foot expansion headlined by a new procedural building, a five-floor vertical and horizontal expansion of the existing Mayo Clinic Specialty Building, a two-story indoor promenade wrapping around the front of the campus and “care neighborhoods”—an approach of clustering complementary clinical services that’s also been highlighted in Mayo’s other construction projects.
"Through this work, we are physically and digitally transforming healthcare and blurring the lines between inpatient and outpatient care to support Category-of-One healthcare for our patients, a Category-of-One workplace for our staff and to serve as a blueprint for the world," Gianrico Farrugia, M.D., the Mayo Clinic’s president and CEO, said in Monday’s announcement.
The expansion will increase the campus’ capacity for MRIs by 62% and CT scanners by 44%, Mayo Clinic in Arizona CEO Richard Gray, M.D., said in a video provided by the health system. The construction will also bring 11 new operating rooms (a 31% increase) and add two new patient units supporting 48 more beds.
In line with other Bold. Forward. Unbound. projects, the new build will integrate digital capabilities and other “leading-edge technology” in these spaces to improve patient experience and outcomes, Mayo said.
More broadly, the project will also bring more than 3,500 new jobs to the region, Gray said. Some components of the expansion will be opened as soon as the project’s second year, though work is expected to continue until 2031.
"The dramatic growth in our metropolitan area, state and region has led to an escalating need for care of patients with complex medical conditions that is difficult to accommodate with our current technology and infrastructure,” Gray said in a release. "We continue to believe that Arizona is a great place to advance new cures, new collaborations and Mayo's distinctive model of care."
The $1.9 billion project is among the larger builds announced under the Bold. Forward. Unbound. initiative, which includes a $432 million hospital expansion in Jacksonville, Florida, set to wrap in 2026; a $215 million investment in La Crosse, Wisconsin, which recently wrapped; and the $155 million hospital bed tower opened last year in Mankato, Minnesota. However, all the efforts are headlined by a $5 billion, six-year overhaul of Mayo’s flagship campus in downtown Rochester, Minnesota—an estimated $2 billion annual boost to the local economy that Mayo wasn’t afraid to wield as a bargaining chip when lobbying against a nurse-to-patient staffing ratio bill brought in its home state.
Mayo Clinic reported $17.9 billion of total revenues and over a billion of net operating income in 2023, its most recently reported fiscal year. Across nine months of 2024, it’s reported $14.6 billion in total revenues and a net increase of almost $2.1 billion, outpacing the prior year.