Healthcare Insights
Healthcare facility construction activity by state
Hospital and healthcare construction projects expand and improve facilities to better serve patients and the healthcare providers who work there. And new healthcare facilities help increase services and capabilities in the local communities.
How is healthcare construction activity tracked?
In the Definitive Healthcare HospitalView product, we collect certificates of need (CONs) and requests for proposals (RFPs) from federal, state, local, and healthcare system websites. The “new hospitals/units/services” and “hospital/facility relocation/renovation” CON categories and “construction - new building/relocation/design” RFP category track new hospital buildings, hospital construction projects and healthcare facility renovations to inform the market on planned projects.
What is a healthcare certificate of need?
Certificates of need (CONs) are legal documents required by the District of Columbia and many states for the approval of capital expenditures and projects. The goal of CON programs is to help reduce healthcare spending by ensuring new expenses fit the community and the healthcare system’s needs.
Definitive Healthcare collects CONs by monitoring the websites of the 36 states/federal jurisdictions with participating programs and makes the information available in our HospitalView product.
What is a healthcare request for proposal?
Requests for proposals (RFPs) are documents that announce and outline the specifics of a project that a hospital or healthcare system plans to undertake. These formal requests solicit bids from suppliers and contractors to complete the proposed project.
The Definitive Healthcare HospitalView product tracks federal healthcare RFPs from the System for Award Management website and collects non-federal RFPs by monitoring state, local, and healthcare entity websites for RFPs and purchasing requests.
The “new hospitals/units/services” and “hospital/facility relocation/renovation” CON categories and “construction - new building/relocation/design” RFP category track new hospital buildings, hospital construction projects, and healthcare facility renovations to inform the market on planned projects.
How many healthcare construction CONs and RFPs are there each year?
In 2024 through October, we collected more than 1,700 healthcare construction CONs and RFPs. This list below ranks states by their total number of construction-related CONs and RFPs so far this year.
Rank | State | Number of RFPs and CONs in 2024 YTD | Explore dataset |
---|---|---|---|
1 | New York | 355 | Explore |
2 | District of Columbia | 164 | Explore |
3 | Maryland | 87 | Explore |
4 | Texas | 79 | Explore |
5 | California | 76 | Explore |
6 | Michigan | 56 | Explore |
7 | Illinois | 52 | Explore |
8 | Virginia | 51 | Explore |
9 | Washington | 49 | Explore |
10 | North Carolina | 46 | Explore |
11 | South Carolina | 43 | Explore |
12 | Florida | 41 | Explore |
13 | Connecticut | 40 | Explore |
14 | Kentucky | 39 | Explore |
15 | Massachusetts | 39 | Explore |
16 | Ohio | 38 | Explore |
17 | Indiana | 34 | Explore |
18 | Missouri | 33 | Explore |
19 | Oregon | 31 | Explore |
20 | Pennsylvania | 28 | Explore |
21 | Mississippi | 25 | Explore |
22 | Oklahoma | 22 | Explore |
23 | Nevada | 21 | Explore |
24 | Georgia | 20 | Explore |
25 | Wyoming | 19 | Explore |
26 | Alabama | 17 | Explore |
27 | Iowa | 17 | Explore |
28 | Kansas | 17 | Explore |
29 | Arizona | 15 | Explore |
30 | New Jersey | 15 | Explore |
31 | Hawaii | 14 | Explore |
32 | Utah | 14 | Explore |
33 | Louisiana | 13 | Explore |
34 | Tennessee | 13 | Explore |
35 | Arkansas | 11 | Explore |
36 | Colorado | 10 | Explore |
37 | Minnesota | 10 | Explore |
38 | Wisconsin | 10 | Explore |
39 | Montana | 9 | Explore |
40 | New Mexico | 8 | Explore |
41 | South Dakota | 8 | Explore |
42 | West Virginia | 8 | Explore |
43 | Idaho | 7 | Explore |
44 | Nebraska | 7 | Explore |
45 | Delaware | 6 | Explore |
46 | Rhode Island | 5 | Explore |
47 | North Dakota | 4 | Explore |
48 | New Hampshire | 4 | Explore |
49 | Alaska | 1 | Explore |
50 | Maine | 1 | Explore |
Which states have the most healthcare construction activity?
New York had the most construction CONs and RFPs in 2024 YTD, with 355. The state’s CON requirements, large population, and number of healthcare facilities likely contribute to this number. The District of Columbia had 164 construction-related CONs and RFPs while Maryland had 87.
What are the trends for healthcare construction?
Looking at the annual number of healthcare construction CONs and RFPs reveals some notable trends. In 2022, we saw a peak with 2,493 construction RFPs—the highest in the last decade—indicating a surge in construction interest, likely fueled by post-pandemic recovery efforts and growing healthcare demands.
The number of construction CONs has fluctuated over the years, particularly as many states have opted to phase out their CON programs. Our data shows that CONs peaked at 1,024 in 2015 but gradually declined to just 207 in 2022. This decrease suggests that, even with rising construction activity, the regulatory landscape has changed, resulting in fewer projects needing a CON. In 2019, for example, Florida immediately eliminated several CON requirements but phased out hospital CONs two years later.
Although 2023 experienced a dip in both RFPs and CONs compared to 2022, the overall figures from the past decade still reflect a robust demand for healthcare construction. Learn how you can capitalize on the current demand for healthcare construction and win more healthcare RFPs with our comprehensive guide.
Year | Number of RFPs | Number of CONs | Total number of CONs and RFPs | Explore dataset |
---|---|---|---|---|
2014 | 1,310 | 755 | 2,065 | Explore |
2015 | 1,546 | 1,024 | 2,570 | Explore |
2016 | 1,694 | 835 | 2,529 | Explore |
2017 | 1,741 | 660 | 2,401 | Explore |
2018 | 1,858 | 417 | 2,275 | Explore |
2019 | 1,465 | 611 | 2,076 | Explore |
2020 | 1,654 | 539 | 2,193 | Explore |
2021 | 1,730 | 555 | 2,285 | Explore |
2022 | 2,493 | 207 | 2,700 | Explore |
2023 | 1,921 | 212 | 2,133 | Explore |
2024 YTD | 1,431 | 235 | 1,666 | Explore |
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Healthcare Insights are developed with healthcare commercial intelligence from the Definitive Healthcare platform. Want even more insights? Start a free trial now and get access to the latest healthcare commercial intelligence on hospitals, physicians and other healthcare providers.