UNC Health plans to create a community hospital on a 62-acre proposed site in New Hanover County, pending regulatory approvals, according to an announcement Monday morning.

“With the growth that’s taken place, the population density and the projected growth, there really needs to be more capacity, more access and more choice and an alternative," said Ernie Bovio, regional president of UNC Health’s Southeast Coastal Region, Monday. "And that’s what we’ve heard from the residents in the community.” 

The proposed hospital is planned for a 62-acre site on the southeast corner of South 17th Street and Shipyard Boulevard, the release said. According to Bovio, the space was strategically chosen because of its central location, allowing UNC Health to serve more patients, especially in underserved communities. 

As UNC Health expands into the region, the proposed hospital will serve as the provider's base, Bovio said. 

“We’re looking at some other sites and other possibilities in the surrounding counties to develop UNC Health’s presence," he added. "We’re going to be in it for the long term.”

According to the press release, the proposed facility would offer a range of specialties, including emergency care, cardiology, oncology, OBGYN and more. The system launched a website today with details on the Wilmington plan, including a space for community members to write a letter of support to the North Carolina Division of Health Service Regulation (NCDHSR). 

While the not-for-profit, state-owned health system’s officials are planning the hospital, the proposal still requires state approval through North Carolina’s certificate of need (CON) process before it can become a reality. UNC Health is planning on submitting the proposal on June 15, Bovio said. 

Following the application's submittal, NCDHSR holds a public hearing, which Bovio estimates will be in August. Bovio expects a state decision on the proposed hospital by December. 

UNC Health is targeting an opening date of 2030, the release stated, and “will continue to engage openly with local community leaders and residents and share updates as plans evolve and progress is made towards achieving CON approval.”

Earlier this year, the North Carolina State Medical Facilities Plan identified a need for 225 beds in New Hanover County. Novant Health currently owns the only hospital in the county, the 823-bed Novant Health New Hanover Regional Medical Center (NHRMC). 

The exact size of the proposed hospital has not yet been finalized, though Bovio said that "a lot of it's dependent upon the physician support" and that UNC Health will apply for "a big chunk" of the identified 225 beds.

The existing partnership between the UNC School of Medicine and Novant Health NHRMC will continue, Bovio said. 

"It's no secret southeastern North Carolina has become a destination, and the region continues to see population growth and new businesses, which has prompted the state to allow 225 new hospital beds in New Hanover County," said Laurie Whalin, president of Novant Health NHRMC and acute care operations for the Novant Health Coastal Region, in an email. "Based on the size of the bed count, we fully expected this to be a competitive process."

"Novant Health has an unparalleled commitment to this community. We have and continue to grow alongside it," she added. "Our strong community partnerships and our Vision 2030 plans to improve access to high-quality care are years in the making. I’m extremely proud of our physicians and our care teams, and all the work they have done to advance the level of care offered in our Coastal Region." 

The news of UNC Health’s Wilmington plans follows the recent addition of Bovio to UNC Health. Bovio, who had served as president of the Novant Health Coastal Region since 2024, became regional president of UNC Health’s Southeast Coastal Region in April.

According to the release, Wilmington Health – one of the largest independent, physician-owned practices in Southeastern North Carolina – also supports the project, and its providers are expected to participate on the medical staff of the new facility.

“Wilmington Health has served this community for more than 50 years, and we know firsthand that our patients are interested in choice,” stated Jeff James, CEO of Wilmington Health, in the release. “We strongly support UNC Health’s plan to bring a new community hospital to our region – closing critical gaps in specialty care and ensuring families across our region have options to access the services they need, right here at home.”

According to a UNC Health spokesperson, the proposed Wilmington facility follows UNC Health's conditional authorization by NCDHSR to develop up to 144 acute care beds in the West Cary area, a $365 million project. UNC Health is also appealing a denied bid to develop 50 additional acute care beds at UNC Health Rex Wake Forest Hospital, as well as a denied bid to build a new 129-bed hospital in Buncombe County.