There are currently 74.2 million square feet of hospitals under construction across the US. That is down year-over-year, but still a very string pipeline when compared to the past decade. This is made up of 237 expansions and 103 brand new or replacements. Texas leads the states with 14.8 million square feet across 41 projects. That means nearly 20% of the US hospital construction is located in Texas.
A trend to watch is the starts, which is the amount of square footage breaking ground. In every quarter over the last year, that number has been falling. 14.8 million square feet have started construction over the past twelve months and that is only a bit over half the level seen in 2Q25. It is likely to just be a correction from the large built-up pipeline, but it is lower than usual. Completions have been consistent from 2024 through 2026, running at a level of 19 million square feet delivering on an annual basis.
