U.S. states ranked by their average healthcare facility age

The cost to renovate facilities continues to rise

Even as many states consider the need to address aging facilities, the cost of doing so continues to rise. According to data from the Federal Reserve Bank of St. Louis, total construction spending on healthcare facilities in the U.S. reached a seasonally adjusted annual rate of almost $54 billion in November 2022, up from $43.3 billion in November 2017, which is growth of about 4.5% annually.

Increased building costs have been a big part of the reason for the increase in overall spending. Since 2020 the input prices for final construction have increased by more than 33%. A number of factors are at play here, including increased costs for labor, as well as for raw materials like lumber and cement. However, as governments and central banks implement policies aimed at reducing inflation, there is widespread hope that these trends will subside, and prices will revert back to the long-term trend.

Which state has the oldest healthcare facilities?

Hawaii has the oldest healthcare facilities on average in the country at 22 years. Nevada, on the other hand, has the newest facilities on average at only 9.7 years.

Regionally, the northeast has the oldest facilities with an average of 14.8 years and the southwest has the newest facilities with an average age of 11.2 years.

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