CHOP planning massive expansion

Hoping to become the clear leader in pediatrics, the Children's Hospital of Philadelphia recently unveiled $650 million expansion plans that will add over one million square feet of space.

CHOP administrators hope to expand the complex on its southern and western sides to create space for additional patient care and research. The project should be completed in about five years.

"We must continue to strive [to be a] regional, national and international leader so that we can advance pediatric healthcare and have a positive impact on the lives of children and families," CHOP President Steven Altschuler said in May when the project was announced.

The construction is seen by many as CHOP's push to become the country's number one pediatric hospital, hoping to surpass its top rival, Children's Hospital Boston.

In the latest U.S. News and World Report rankings, CHOP came in second to Boston, and Boston receives slightly more research funding.

The undertaking is another in a string of large construction projects in the city. CHOP's expansion comes on the heels of the airport renovation and new sports stadiums for the Phillies and Eagles.

However, this project, unlike the others, will receive no public funding. The costs will be paid through CHOP's $1 billion endowment, its profits, bond sales and a fundraising drive.

CHOP's expansion is needed because of an increase in patients. Outpatient visits are up 60 percent and hospital admissions have increased 25 percent from three years ago.

According to Altschuler, these skyrocketing rates are due to CHOP's expanding service region.

"The reason why we've experienced that increase is because we serve a much larger geographic area than most typical children's hospitals," he said.

To expand regional care, the plans also call for specialty care centers in King of Prussia and Springfield in Pennsylvania, and Atlantic County and Vorhees in New Jersey.

Preliminary work started this February on the expansion of the Abramson Research Center, which is targeted for opening in 2003.

Ground was also broken in late June on a new 10-floor South Tower, which will house patient rooms and a trauma center. It is expected to be complete by the end of 2003.

"Everything is going smoothly and we are confident that all plans will be on schedule," CHOP spokeswoman Cynthia Atwood said.

The 11-story West Tower will house operating rooms and laboratories. In addition, a 450,000-square foot research facility is scheduled to be built on the site of the former Civic Center.

The plans also include a new glass facade for the hospital and a three-story underground parking garage.

While both Boston -- which is embarking on a $250 million addition -- and Texas Children's Hospital are expanding, they are not growing as fast as CHOP.

"Once CHOP finishes its development plans and the University proceeds with its own development of the Civic Center site, University City will have health care assets that rival... any other location in the country," said Jack Shannon, Penn's Managing Director of Economic Development.

Because of different Medicare regulations, CHOP pulls in a profit while Boston suffers operating losses. CHOP's profits and endowment allow it to borrow money at lower interest rates.

While Boston is confident in its status, officials there are taking CHOP's initiatives seriously.

"We are very proud to have come in first this year for the 12th consecutive year," Boston spokeswoman Michelle Davis said. "But we certainly feel that we have CHOP nipping at our heels."

Please note All comments are eligible for publication in The Daily Pennsylvanian.