Arizona State University has broken ground on a new $200 million headquarters for ASU Health in downtown Phoenix, marking a significant expansion of its efforts to address healthcare access and workforce shortages across the state.
The 175,000-square-foot facility, located in the Phoenix BioScience Core, is scheduled to open by the fall 2028 semester. It will serve as the central hub for multiple new and existing programs, including the John Shufeldt School of Medicine and Medical Engineering and the School of Technology for Public Health, alongside initiatives from the Edson College of Nursing and Health Innovation and the College of Health Solutions.
Speaking at the groundbreaking, ASU President Michael Crow highlighted systemic challenges in the U.S. healthcare system, noting high costs and comparatively weaker outcomes.
“We’re spending almost two and a half times per capita the money on health care as any other country in the world. And our results are not in the top 25,” he said. “What we have is a system that costs so much that it’s lost control — with poor results.” He added that ASU Health aims to address these gaps, stating, “We at the university are at the edge of the future.”
The project is positioned to play a role in addressing Arizona’s growing healthcare workforce demand. Katie Hobbs said the state will require approximately 76,000 additional healthcare workers by 2030. “Every seat in this school is a patient who gets seen. Every diploma here is a workforce gap that gets a little bit smaller. Every investment we make today is a healthier Arizona,” she said.
The new medical school will offer a dual-degree pathway combining an MD with a Master of Science in medical engineering, integrating fields such as artificial intelligence and data science into clinical training. The facility will also include simulation labs, virtual reality classrooms and a medical-technology innovation suite designed to support both education and research.
Funding for the project includes private philanthropy, contributions from HonorHealth, $100 million from the state of Arizona and $50 million from the City of Phoenix.
Kate Gallego said the initiative reflects long-term collaboration between the city and the university. “How do we take what we’re already good at, our great medical technology and semiconductors, and not rest? Where is the future going and how can we be ready?” she said. “We are so excited to be able to make this investment to educate, innovate, scale and serve.”
ASU Health is expected to collaborate with the city on key public health priorities, including occupational health, women’s health and urban resilience. The university has indicated that success will be measured not only by graduate output, but by improvements in healthcare access, affordability and overall population health outcomes across Arizona.
