The University of Utah board of trustees voted on Wednesday to approve a $43.5 million land purchase agreement with The Point development in Draper to construct a “full-scale hospital.”
The Point’s board also voted unanimously to approve the agreement, which lays the foundation for the U. to develop an approximately 45-acre, 200,000-square-foot medical campus at the development site.
“This has been a long time coming. This was not a transaction that was put together in a week ... at least six or seven or eight months that we’ve been working on this,” said Lowry Snow, board co-chair. “This is a win-win situation, not only for The Point, but also for the state of Utah.”
The Point aims to be a living-working community that will feature high walkability, with everything within a 15-minute walk from its heart, a river-to-mountain range trail accessible from the community, which will include retail, entertainment, innovation, educational, office and residential spaces all within approximately 600 acres, according to the plan’s framework.
The news comes at a big time for The Point, as board co-chair Jordan Teuscher said crews are planning to break ground on the first phase of redevelopment this month.
“Today, the University of Utah Board of Trustees authorized the purchase of 46 acres of land intended for a proposed health campus at The Point. This strategic acquisition allows U of U Health to serve as the exclusive healthcare provider for this rapidly growing corridor,” said a statement from the University of Utah Health.
Kerry Owens, chairperson of the Parsons Behle and Latimer law firm, said the U. will be granted a 12-year exclusivity period, with an automatic 30-year extension triggered once the U. meets development standards by constructing the 200,000-square-foot medical facility.
Construction is expected to begin in five to 10 years.
Despite this initial timeframe, Snow said he “would not be surprised at all” if construction began before that window, adding that he “wholeheartedly” endorses the project.
“I don’t think, when this is completed … that there will be anything quite like it between the West Coast and at least Chicago,” Snow said. “I think it will be a place of international renown and I think it will be beyond a place where people can receive first-class treatment.”
The Draper site will expand the University of Utah Health’s presence throughout the Salt Lake Valley and provide more convenient care for the southern edges of Salt Lake County and Utah County. It joins two other expansions in the new cancer care center in Vineyard and a new West Valley City hospital, both set to open in 2028.