On March 19, 2025, Kaiser Permanente held a groundbreaking ceremony to mark the beginning of construction on its 18-acre Railyards Medical Center. The project will bring thousands of jobs and expanded healthcare services to downtown Sacramento and anchor the Sacramento Raillyards infill development project.
Construction Begins on Kaiser Permanente Railyards Medical Campus
The Kaiser Permanente Railyards Medical Center will significantly enhance healthcare access in Sacramento. At the heart of this ambitious project is an eight-story, 662,050-square-foot hospital designed to accommodate 310 private patient rooms, ensuring comfort and privacy for every patient. Coupled with a robust 70-bay emergency department, the facility will significantly enhance the region’s healthcare infrastructure.
The Kaiser Permanente medical center will include 14 state-of-the-art operating rooms capable of handling a diverse range of medical procedures. Services will span from intensive care units (ICU) to neonatal intensive care units (NICU), labor and delivery services, and extensive postpartum support, meeting the needs of families in Sacramento with compassionate and comprehensive care.
Next to the hospital, a five-story, 173,000-square-foot medical office building will provide outpatient services through 174 provider offices and 66 exam rooms. This space will foster streamlined, patient-centered care, ensuring accessibility to routine check-ups, specialty consultations, diagnostic imaging, and preventative health services, all within the same campus.
Advanced Neuroscience and Specialized Care
A hallmark of the new facility will be Kaiser Permanente’s Advanced Neuroscience Center, which specializes in stroke and spinal treatment. This center underscores Kaiser’s commitment to bringing cutting-edge medical care and specialized treatments closer to Sacramento residents. By investing in advanced technology and expert healthcare providers, the center will become a leading hub for neurological treatment and rehabilitation in the region, enhancing outcomes for patients dealing with complex neurological conditions.
A Commitment to Sustainability
Kaiser’s Railyards hospital will be one of California’s first all-electric hospitals, featuring solar panels, EV charging stations, and sustainable materials, and following similar all-electric facilities at UC Irvine and Kaiser Permanente’s San Jose hospital, slated to open in 2029.
- Renewable Energy Integration: The medical center will be powered entirely by renewable electricity, including an extensive array of solar panels installed throughout the campus, significantly reducing its environmental footprint.
- Energy-Efficient Systems: The facility will employ state-of-the-art energy-saving medical equipment, LED lighting with intelligent controls, and highly efficient HVAC systems equipped with advanced heat recovery technology. These efforts are expected to significantly reduce the medical center’s energy consumption and operating costs.
- Electric Vehicle Infrastructure: To support the growing adoption of sustainable transportation, the campus will offer ample charging stations for electric vehicles, encouraging patients, staff, and visitors to embrace greener commuting options.
Economic Impact in the Region
Sacramento Mayor Kevin McCarty called the medical center a “major economic boost.”
Beyond enhancing healthcare access in the Sacramento region, the new Kaiser Permanente Railyards Medical Center will positively benefit Sacramento’s economy by bringing job opportunities to the Railyards.
Upon completion, the campus is expected to employ nearly 3,000 healthcare professionals and support staff, significantly expanding employment opportunities and economic stability in the region.
This expansive medical center is a strategic part of Kaiser Permanente’s broader regional growth initiative, complementing similar expansion efforts currently underway in Roseville and South Sacramento. Together, these initiatives demonstrate Kaiser Permanente’s unwavering commitment to meeting the healthcare needs of Northern California’s growing population.
Anchoring the Railyards Infill Development
The new medical center is more than just a healthcare facility—it is a cornerstone of Sacramento’s continued urban development and revitalization. Situated within the historic Railyards district, the largest urban infill development project in the nation, the Kaiser Permanente facility is an anchor for further economic and community development.
As the nation’s largest infill project, The Railyards is transforming a former industrial site into a thriving new Downtown destination. The Railyards are built upon history and are now being transformed into a vibrant mixed-use community with various residential, retail, office, and entertainment projects and easy access to multiple forms of public transportation, including the Sacramento Valley Station, light rail, and bus access.
The presence of such a major healthcare facility is anticipated to attract additional investment in housing, restaurants, retail spaces, and other community-centric amenities. The Kaiser Permanente medical campus joins other anchor projects, including The AJ, the first residential project in the Railyards, The Foundry, the district’s first office-retail project, a much-anticipated planned 12,000-seat soccer stadium, and a 3,600-person music venue.
Explore the projects underway in the Railyards.
Community Impact
Scheduled for completion in 2029, the Kaiser Permanente Railyards Medical Center will replace the current Morse Avenue facility, which has faithfully served the region for over 60 years, but doesn’t meet the California earthquake safety standards that take place in 2030. This transition marks a new era of advanced medical services, designed specifically to meet the evolving needs of Sacramento’s diverse and expanding community.
The Kaiser Permanente Railyards Medical Center represents a powerful investment in Sacramento’s health and future. As construction progresses, anticipation builds for a facility that promises not only superior healthcare services but also significant economic and social benefits for the region, becoming a hallmark of Sacramento’s urban renewal, health innovation, and community prosperity.