DOVER, Del. - Bayhealth is planning a major expansion of its healthcare facilities across Kent and Sussex counties, including a taller hospital tower in Dover, expanded emergency services in Milton and a new Total Care facility in Smyrna.
The health system outlined the projects Wednesday during a news conference at Bayhealth in Dover. The multi-year investment, called "The Next Wave," is designed to expand access to care, improve patient experiences and prepare for the region’s growing and aging population.
"These expansions that we're announcing today are so important because of the growth in Kent Sussex County and the tremendous amount of aging in the population between now and 2040," Bayhealth President and CEO Terry Murphy said. "And we think these projects will go a very long way in addressing those needs."
The projects are expected to roll out in phases through 2029, with investments spanning hospital capacity, outpatient services, imaging, diagnostics and medical education.
Dover hospital campus to expand
One of the largest projects will transform Bayhealth’s Kent Campus in Dover, where plans call for expanding the existing patient tower from four stories to 10.
The expansion will add 64 private inpatient rooms, with the long-term goal of making the hospital an all-private-room facility. Bayhealth says the additional space will help accommodate more patients while improving privacy and the overall care experience.
"Not only will allow us to also add 64 private rooms in the long run, we will be an all private room hospital, which is important how we deliver care and support for the patients and their satisfaction in how care is delivered," Murphy said.
The project also includes expanding the hospital’s Emergency Department and Intensive Care Unit. The Emergency Department improvements are expected to include additional space for patients with less urgent conditions, a larger reception area and a dedicated area for patients experiencing behavioral health emergencies.
Bayhealth plans to invest approximately $9 million in the Emergency Department expansion, which is expected to become operational in October 2027. The larger patient tower project is expected to be completed in January 2029.
The hospital also plans to relocate its pharmacy and laboratory to new spaces above the Emergency Department, improve patient flow and expand its kitchen and cafeteria.
Blue Hen property could become medical neighborhood
Bayhealth is also looking to expand its presence at the Blue Hen Corporate Center in Dover, the property formerly known as the Blue Hen Mall.
The health system is in the process of purchasing the entire property, with plans to develop a medical neighborhood that brings more outpatient services together in one location.
Future plans include additional diagnostic and treatment services, physician practices, eye care, women's services and outpatient surgery. The site's conference center would also support medical education, nursing training and physician onboarding.
Murphy said the property offers an opportunity to repurpose an existing space while making healthcare more accessible to the community.
"We think the same principles for adaptive reuse for the old Blue Hen mall is perfect for a medical neighborhood," Murphy said.
The location's highway access and parking could make it a convenient destination for patients who need services without being admitted to the hospital.
Milton and Smyrna to see expanded services
Bayhealth also announced plans to expand its Total Care services in Milton and Smyrna.
In Milton, the health system plans to add 10 emergency exam rooms, doubling the facility's current capacity. The expansion will also include additional imaging and diagnostic services to serve patients in Milton and surrounding communities.
Bayhealth says the facility has seen strong demand since opening, with patients traveling from farther away than initially expected.
In Smyrna, Bayhealth plans to develop a new Total Care facility that would bring emergency, urgent and observation care together with outpatient services.
The proposed facility would include four operating rooms, advanced imaging, laboratory services, a multispecialty clinic, six fast-track rooms, 14 emergency department bays and eight observation beds. The project is expected to cost more than $50 million, with a potential opening in fall 2029, subject to planning and approvals.
The health system also plans to expand services at its Carter Road location in Smyrna, including primary and specialty care, imaging, diagnostic testing, rehabilitation and other outpatient services.
Bayhealth leaders say the Total Care model allows clinicians to assess patients and direct them to the appropriate level of treatment. Murphy said approximately two-thirds of patients at the existing Total Care facility in Milton are billed at a walk-in care rate rather than an emergency room rate.
Preparing for future healthcare needs
Bayhealth leaders said the projects are intended to address increased demand while giving patients more options for receiving care outside traditional hospital settings.
Kyle Benoit, Bayhealth's chief operating officer, said expanding access must also mean considering the cost of care and making sure patients receive treatment in the appropriate setting.
"You expand access, you can build facilities, but you've got to make sure it's with the patient in mind from a cost standpoint, from an access of care standpoint," Benoit said.
The health system says the investments will also create opportunities to recruit healthcare professionals and support medical education and workforce development in Delaware.
More information about the projects is available through Bayhealth's Next Wave initiative.
