Key Takeaways
- • The Duke Endowment announced a $100 million grant to North Carolina Children's, a planned independent pediatric health system being developed by UNC Health and Duke Health on a 220-acre site in southern Apex.
- • The project's projected total campus cost is $3 billion, with the North Carolina General Assembly contributing $424.5 million from American Rescue Act funds and state budget appropriations.
- • Organizers aim to raise $1 billion from private philanthropy and say they are on track to close the year with more than $175 million raised before the Duke Endowment grant.
- • The campus is projected to include a 500-bed acute care children's hospital and a 70-bed pediatric behavioral health hospital, with groundbreaking planned for next year and opening in the early 2030s.
- • Backers estimate the project will generate 8,400 direct jobs, 9,800 indirect jobs, and $26.8 billion in state GDP over 20 years.
Summary
The Duke Endowment has announced a $100 million grant to North Carolina Children's, a collaborative effort between UNC Health and Duke Health to build an independent, standalone pediatric health system, according to North Carolina Health News reporter Anne Blythe. The announcement was made Tuesday for a 220-acre tract near U.S. 1 and N.C. 540 in southern Apex, within the Veridea development in southwest Wake County. The grant is the largest philanthropic commitment to the project to date, which is expected to open in the early 2030s, with groundbreaking planned for next year.
The campus plans include a 500-bed acute care children's hospital, a 70-bed pediatric behavioral health hospital, an ambulatory surgical center, and facilities for research, medical education and training. The projected cost for the full campus is $3 billion. The North Carolina General Assembly has committed $424.5 million through a combination of American Rescue Act funds allocated in 2023 and appropriations in the state budget adopted in July. Faculty from Duke and UNC Chapel Hill are planned to train future pediatricians and specialists on site.
Backers argue that North Carolina is the largest state without an independent children's hospital, despite having 11 children's hospitals statewide. Wesley Burks, chair of the NC Children's board and former UNC Health CEO, said that 85 to 90 percent of health system activity is oriented toward adults. Speakers said the site is within a three-hour drive for 75 percent of North Carolina families. Burks said 5,000 Medicaid-enrolled children required out-of-state care last year, a figure that excludes other children who also left the state for treatment.
Thomas A. Owens, lead administrator of NC Children's and executive vice president and chief clinical executive of Duke Health, said the partners plan to work with other children's facilities across the state, including WakeMed and Atrium. Duke Health and UNC Health signed a joint-project agreement on Jan. 28, 2025. Charles Lucas III, chair of the Duke Endowment Board of Trustees, called the project unique in scope and ambition.
An economic impact report, based on models from the state Department of Commerce and RTI International, projects 8,400 direct jobs, 9,800 indirect jobs, $780 million in annual direct wages, $26.8 billion in state GDP over 20 years, and $1.1 billion in taxes over 20 years. Organizers still need to raise $1 billion from private philanthropy, and Owens said they are on track to close the year with more than $175 million.
The campus plans include a 500-bed acute care children's hospital, a 70-bed pediatric behavioral health hospital, an ambulatory surgical center, and facilities for research, medical education and training. The projected cost for the full campus is $3 billion. The North Carolina General Assembly has committed $424.5 million through a combination of American Rescue Act funds allocated in 2023 and appropriations in the state budget adopted in July. Faculty from Duke and UNC Chapel Hill are planned to train future pediatricians and specialists on site.
Backers argue that North Carolina is the largest state without an independent children's hospital, despite having 11 children's hospitals statewide. Wesley Burks, chair of the NC Children's board and former UNC Health CEO, said that 85 to 90 percent of health system activity is oriented toward adults. Speakers said the site is within a three-hour drive for 75 percent of North Carolina families. Burks said 5,000 Medicaid-enrolled children required out-of-state care last year, a figure that excludes other children who also left the state for treatment.
Thomas A. Owens, lead administrator of NC Children's and executive vice president and chief clinical executive of Duke Health, said the partners plan to work with other children's facilities across the state, including WakeMed and Atrium. Duke Health and UNC Health signed a joint-project agreement on Jan. 28, 2025. Charles Lucas III, chair of the Duke Endowment Board of Trustees, called the project unique in scope and ambition.
An economic impact report, based on models from the state Department of Commerce and RTI International, projects 8,400 direct jobs, 9,800 indirect jobs, $780 million in annual direct wages, $26.8 billion in state GDP over 20 years, and $1.1 billion in taxes over 20 years. Organizers still need to raise $1 billion from private philanthropy, and Owens said they are on track to close the year with more than $175 million.
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