Avera to build largest patient care expansion in Sioux Falls history


SIOUX FALLS, S.D. (KELO) — Avera announced its plans on Wednesday to build a six-story tower addition to Avera McKennan Hospital and University Health Center. It will also build a three-story building on the Louise Health Campus.

Together, the projects will be the largest building project in Avera’s history and the largest expansion of hospital patient care in the history of Sioux Falls, according to Cale Feller, director of media relations and corporate communications.

The combined projects of 350,000 square feet are estimated to cost $245 million.

The tower at the hospital and university health center on South Cliff Avenue will create a new entrance and provide women’s and children’s acute care and expand for labor and delivery, postpartum care, newborn nursery, neonatal intensive care unit, pediatric hospital care and pediatric intensive care. 

This will add 158 beds and accommodate the future growth of Sioux Falls and its increase for medical services.

Rendering of the Avera McKennan Hospital & University Health Center tower

The Louise Avenue Campus on 69th and Louise Avenue will provide digestive health services. Gastroenterology services are currently in the Avera Specialty Hospital and the attached medical building. By moving digestive health services from Avera Specialty Hospital to the Louise Campus, the vacated space within will be converted for orthopedic services.

Rendering of Avera McKennan Louise Avenue Campus

Plaza 3 on the Avera McKennan Campus, currently home to the transplant institute and dialysis center, will be removed to make room for the project. The transplant and dialysis center will be moved to another location to be announced.

These projects and additional changes will allow Avera to enhance major services for surgery, cancer care and more, according to the Avera news release.

Construction for both projects is projected to begin the summer of 2024. The Louise Avenue Campus is expected to be completed in 2026 and the Hospital and University Health Center tower in early 2027.

“The new tower will allow Avera to create dedicated and centralized space for women’s and children’s acute care and expand areas for the unique hospital needs these two populations require: labor and delivery, postpartum care, newborn nursery, neonatal intensive care unit, pediatric hospital care and pediatric intensive care,” Ronald Place, MD, Regional President and CEO of Avera McKennan, said in the news release.

“Years of planning and research have gone into evidence-based care for the population we serve, and I’m confident this project will benefit patients for generations to come. We’re excited to create a focused area of clinical excellence for women’s and children’s services at Avera McKennan,” Place said in the release.

Annually, Avera has about 42,000 admitted patients and 1.1 million outpatient patients that come from a radius of 300 miles to the hospital. Avera’s 36 hospitals and 200 clinics serve healthcare services to one million people.

The Avera Health System currently has about 20,500 employees and physicians. Avera’s hospitals and clinics at more than 300 locations in 100 communities across a five-state region.

For project renderings, images and video.


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