Intermountain Health is planning a new 10-story hospital at the former Sears site in downtown Salt Lake City, a move that would relocate the longtime LDS Hospital from its current Avenues District location to 745 South State Street. The project, which includes a seven-story medical office building and a public plaza, aims to improve patient access to major freeways and public transit.
A Strategic Downtown Relocation
The proposed campus, which will occupy an approximately eight-acre site, was first unveiled by Intermountain Health on Sept. 2, 2026. This announcement follows a long-standing presence in the area, as the site was home to a Sears retail store that operated from 1947 until it closed in 2018. The Salt Lake City Council has already approved a proposal to rezone 10 parcels at approximately 754 S. State Street to allow Intermountain Health to redevelop the property for the hospital project.
Honoring a 120-Year Legacy
Intermountain Health officials stated that the decision to build a replacement facility was driven by extensive analysis of community health needs, patient trends, and long-term growth projections. Leadership determined that constructing a new campus would offer greater value and flexibility than modernizing the existing hospital located in the residential Avenues neighborhood.
Heather Wall, president of Intermountain LDS Hospital, noted that the facility has served Utah families since 1905. Wall said the new hospital will honor that 120-year legacy while creating a foundation for the next century of care. She added that the project is intended to expand access and support economic growth in Salt Lake City.
Expanded Medical Services
The new facility is designed to provide a broad range of specialized services in a central location. Planned medical services include emergency and intensive care, women’s and newborn services, behavioral health, cancer care, orthopedics, imaging, surgery, and other specialty programs.
Specific healthcare offerings for families include an advanced Level II Neonatal Intensive Care Unit, personalized birthing suites, maternal-fetal medicine, midwifery services, and family education programs. Other planned services include an ambulatory surgery center, endoscopy services, pharmacy, laboratory, dialysis center, 24/7 intensive care, neurology, cardiology, pulmonary medicine, rehabilitation, gastroenterology, urology, and wound care.
Modern Campus Design
The architectural design focuses on a patient-centered environment featuring a signature atrium and dedicated respite areas for patients, families, and caregivers. The project also prioritizes sustainability, with goals to make the facility one of the most energy and water efficient healthcare buildings in the region.
Infrastructure plans include a 10-story hospital spanning more than 521,000 square feet and an attached seven-story medical office building. Additionally, a public plaza is planned for the northwest corner of the site, creating a gathering space that connects Main Street and State Street.
Significant Economic Impact
The economic impact of the development is expected to be significant for the region. Intermountain Health estimates the hospital will support approximately 2,000 jobs and contribute more than $1.1 billion to the local economy each year.
Salt Lake City Mayor Erin Mendenhall stated the hospital would be a tremendous benefit and resource for all residents. Eric Liston, president of Intermountain Health’s Canyons Region, said the investment supports economic growth and contributes to a vibrant community where people can live, work, and thrive.
Timeline and Future Use
Construction planning and development activities are currently underway to prepare the site. Intermountain Health hopes to begin construction before the end of 2026, with the building process expected to take between three and five years.
The current Intermountain LDS Hospital in the Avenues will remain open during the development of the new campus. Hospital leaders have not yet decided how the existing property will be used once the new downtown facility is operational.
