Newly released details of Cleveland Clinic’s $1.3 billion capital commitment significantly expand capacity expansion plans for its neurological and Cole Eye Institutes – plans first announced three years ago , then discontinued during the pandemic.
In addition to a new building for the Neurological Institute and the expansion of the Cole Eye Institute — each of which has grown significantly since 2019 — the clinic is also expanding its research facilities through its commitment to the Cleveland Innovation District, a partnership of research and education between five anchor institutions.
The biggest change to the capital plan in the past three years is this “major investment in research,” said Bill Peacock, the clinic’s chief operating officer.
“We haven’t made a major, meaningful expansion of our research capacity since about 2004, when we built the Lerner Research Institute buildings on the south side of Carnegie Avenue,” he said. . “And we’re looking at adding 400,000 square feet of research bench space, labs, wet lab, dry lab, compute space. We’re very lucky to have money coming from the ‘State, JobsOhio and our own stock market to make this happen.”
The clinic is working with community partners “to transform Cedar Avenue,” Peacock said. In the fall, in partnership with Brooks Automation, the clinic opened a 22,000 square foot BioRepository on the south side of Cedar Avenue between East 97th and East 110th streets. The health system is also working with community partners on a $52.8 million mixed-use project currently under construction that will bring a Meijer store and apartments to the corner of East 105th Street and Cedar Avenue.
Across from the BioRepository, the Clinic is building two structures to expand its research capacity for the Clinic’s new Global Center for Pathogen and Human Health Research, part of the Cleveland Innovation District.
The district, unveiled in 2021 as a $565 million project, is a collaboration between the clinic, MetroHealth, University Hospitals, Case Western Reserve University and Cleveland State University. The initiative is backed by $300 million from the clinic, $110 million from JobsOhio and $155 million from the state.
From JobsOhio, the clinic will receive up to $45 million. The state money consists of a job creation tax credit for the clinic, worth an estimated $55 million based on hiring and payroll over a seven-year period. years; and a $100 million forgivable loan for the construction of research facilities as part of the pathogen center.
For the combined estimated $200 million investment from JobsOhio and the state, the clinic made a series of commitments, including creating 1,000 jobs over seven years.
As part of its agreements with JobsOhio and the state, the clinic is committed to creating 8,500 jobs, including 1,000 direct positions and 7,500 indirect roles in everything from health care and research to services. Support.
The system estimates that the current capital projects it announced will add 2,100 direct jobs, 1,000 of which would be related to JobsOhio goals, while the remaining 1,100 are new staff for neurological institutes and construction and Cole Eye. The Clinic also plans to create a total of 7,500 indirect jobs.
Most of the clinic’s $1.3 billion capital expenditure for 2022 will be spent on its main campus. Of this amount, $82 million relates to the innovation district. Philanthropy will help offset some of the costs. Capital expenditures include $700 million in recapitalization (equipment and infrastructure), $200 million in IT systems, and $400 million to support projects such as the Neurological Institutes and Cole Eye, as well as regional projects like construction from Mentor Hospital.
Other capital projects include renovations at Fairview Hospital, an extension to the top floor of the Weston Hospital bed tower at Cleveland Clinic in Florida and Cleveland Clinic London, which opened in March .