Florida State University Reveals Plans for Panama City Beach Hospital
The targeted opening date is in 2028.
Florida State University has announced plans to build an acute care hospital in Panama City Beach under the FSU Health name.
Pending approval by the State of Florida, the plan paves the way to construct a state-of-the-art medical facility that will serve the residents of Bay and Walton counties. Bond financing for the project, estimated to be approximately $414 million, was approved by the Florida Board of Governors, the 17-member board responsible for the operation and coordination of the state’s 12 public universities. The 13-member FSU Board of Trustees approved the bond financing in a meeting.
The university will partner with an operator, anticipated to be Tallahassee Memorial HealthCare (TMH) pending approval by the City of Tallahassee, to lease and operate the new hospital. This arrangement will ensure long-term quality performance that aligns with growing community needs and innovative best practices.
FSU has received approximately 16.5 acres of land donated by The St. Joe Company for the hospital’s site. The new hospital will be located in the same medical district and adjacent to the new Medical Office Building which opened in July 2024.
The first phase of the hospital can accommodate up to 180 beds and will offer a broad range of health care services, including emergency medicine, general surgery, and diagnostic imaging. In addition, the agreement outlines the development of specialized service lines such as cardiac care, neurology and orthopedics.
A key component of the plan is the Academic Clinical Collaboration Agreement, which will govern future clinical research and medical education programs at the hospital. This partnership will create opportunities for FSU’s graduate medical education initiatives and improve the talent development of healthcare professionals in the region.
Notable milestones include the launch of FSU Health in 2022 and construction of an academic health center on the Tallahassee Memorial HealthCare campus, which is set to open in 2026.
The construction of the new Panama City Beach hospital is set to begin soon, with a targeted opening date in 2028.
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