Scottsdale, AZ

Scottsdale Gets Another Hospital - Banner Health Says It Will Build an Acute Care Hospital at Loop 101 and Hayden Road

Mark Hake
Banner Health Scottsdale hospitalPhoto byBanner Health

North Scottsdale is getting another new hospital, according to a press release by Banner Health yesterday. They are spending $400 million on the project on 48 acres of land around there.

The company said it will build an acute care hospital on the southwest corner of Loop 101 freeway and the Hayden Road exit. That is typically where the Fine Arts exhibit ends up each spring.

The location is basically south of Loop 101 freeway, as the southwest corner that is north of the freeway already has a relatively new office complex.

The project will be called Banner Scottsdale Medical Center, and will include the following:

  • a full-service, destination hospital with a focus on cardiovascular, orthopedics, cancer, and neuroscience programs;
  • an adjacent medical office building, and
  • a cancer center.
  • The four-story, 384,000-sq. ft. Banner Scottsdale Medical Center is expected to open in 2026 with 106 licensed patient beds and 20 observation beds.

The project is focused on providing needs for the Northeast Phoenix valley, which Banner says is projected to grow by more than 17% over 10 years.

Banner says the project will add 1,000 new jobs in the area over the next 5 years. That will grow into 2,500 jobs when the project is fully developed.
Banner Health - in 6 statesPhoto

Banner Is a Massive and Growing Hospital System

Banner Health was created on Sept. 1, 1999, when two nonprofit hospital systems, Samaritan Health System and Lutheran Health System, announced a merger. It now says it is one of the largest secular nonprofit healthcare systems in the country.

For example, Becker's Hospital Review lists Banner Health as the 25th largest healthcare system in the U.S., with 30 hospitals.

Since the merger Banner has grown in six states mainly in the West (including California, Nevada, Arizona, Wyoming, Colorado, and Nebraska). It has more than 39,000 employees, 30 acute care hospitals, and a growing network of health centers and clinics.

It also operates an academic medicine division, Banner – University Medicine, and Banner MD Anderson Cancer Center, a partnership with one of the world’s leading cancer programs, MD Anderson Cancer Center. On top of that it has an insurance division and a host of other services and medical groups that it controls.

Banner Health, headquartered in downtown Phoenix, claims to be the leading healthcare provider across metro Phoenix, Arizona.

Based on data from the company's website, the company's revenues are in the range of $12 to $13 billion. That makes it worth about the same as Community Health Systems (NYSE: CYH), which made $12.2 billion in revenue last year and runs 80 affiliated hospitals. Community Health Systems stock has a market value of less than three-quarters of $1 billion ($669 million). Given the similar revenue, that means nonprofit Banner could be worth a similar amount if it ever went public.


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Mark R. Hake, CFA, writes articles on national and local news, stocks, and market events at,,, and as well as TalkMarkets.

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Mark Hake is a financial analyst, investor, and Chartered Financial Analyst (CFA). He writes about US and foreign stocks as well as cryptos, hedge funds, and private equity. He previously ran his own hedge fund, investment research firm, and acted as CFO for a fintech startup. He focuses on finding value, arbitrage, and hidden asset opportunities.

Phoenix, AZ

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