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University of Maryland Shore Regional Health — one of the biggest providers of health care on the Eastern Shore — said it has gotten the final regulatory sign-off needed from the state to build a new medical center in Easton. The new facility, planned for a 230-acre site off Longwoods Road near its intersection with U.S.

Route 50, will replace the existing Shore Regional Medical Center in downtown Easton, which was mostly constructed between 1955 and 1975 and is “outdated and obsolete,” University of Maryland Shore Regional Health said Thursday in a news release. The project, estimated to cost $540 million, will be financed through a combination of bonds and cash flow, state funding, public and private philanthropy, and federal grants, Shore Regional Health said. Construction is expected to break ground in the summer of 2025 and be completed about three years later.



“We are incredibly excited and grateful for what this new hospital means for residents of the region,” said Ken Kozel, president and CEO of Shore Regional Health, in the news release. “This marks the largest healthcare project in the history of UM SRH and one of the largest projects ever for the Mid-Shore region.” The Maryland Health Services Cost Review Commission — the agency charged with approving hospital construction projects and overseeing the state’s unique model for hospital budgeting — approved the health system’s rate increase application Wednesday afternoon.

That will allow the h.

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