Carilion, Select Medical to build $112M Roanoke rehab hospital

Carilion Clinic and Select Medical plan to build a 50-bed inpatient rehabilitation hospital in Roanoke, Virginia, with a $112.2 million investment and an expected opening in 2028. The project will replace Carilion’s existing 34-bed rehab unit at Carilion Roanoke Community Hospital, despite opposition from LewisGale Medical Center, which operates the only other rehab facility in the region.
Carilion Clinic, a Roanoke-based health system, and Select Medical, a Pennsylvania-based provider of critical illness recovery and rehabilitation services, have announced a joint venture to construct a new 50-bed inpatient rehabilitation hospital in Roanoke. The facility, located on Ninth Street in southeast Roanoke, will be operated by Select Medical as the majority owner and manager. Construction is set to begin in spring 2026, with the hospital opening in spring or summer 2028, according to a Certificate of Public Need application approved by Virginia’s Department of Health (VDH) in July 2025. The $112.2 million project aims to address the growing need for rehabilitation services in the region, driven by an aging population. The VDH adjudication officer approved 50 beds despite initial recommendations for only 34, citing the need for expanded capacity due to the outdated infrastructure of Carilion’s current 34-bed rehab unit at Carilion Roanoke Community Hospital. The new facility will replace this unit upon opening. The officer also noted that while LewisGale Medical Center, the only other rehab facility in the area, opposes the project, community support for the expansion was evident. Select Medical will bring expertise in managing inpatient rehabilitation facilities, focusing on conditions such as stroke, traumatic brain injury, spinal cord injury, and other neurological impairments. Mike Abbott, president of Carilion Medical Center, emphasized the partnership’s potential to elevate patient care through shared resources and specialized knowledge. Tom Mullin, CEO of Select Medical, stated that the collaboration aims to deliver best-in-class outcomes, helping patients regain function, mobility, and independence. The project aligns with Carilion’s history of strategic partnerships, including its collaboration with Virginia Tech for the Virginia Tech Carilion School of Medicine in 2010. The new rehabilitation hospital will mark another step in expanding healthcare infrastructure in Roanoke, addressing both immediate and long-term demands for specialized medical services.
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