The Lane Report Editorial Staff
Business & Healthcare Desk, The Lane Report
October 15, 2026
LEXINGTON, Ky. — UK HealthCare has broken ground on a $275 million medical office building at Hamburg East, launching the first phase of a development designed to expand outpatient care for Lexington and Eastern Kentucky patients.
The 220,000-square-foot facility on Cowgill Way, off Winchester Road near Interstate 75, will bring primary care, urgent care and a broad range of specialty services together in one location. Substantial completion is planned for December 2028, with the first patient visits targeted for spring 2029.
City and state officials joined University of Kentucky and UK HealthCare leaders for the Oct. 15 ceremonial groundbreaking. The project is part of a broader outpatient expansion that includes clinics in Frankfort, a Richmond location scheduled to open in November and a future location on Newtown Pike in Lexington.
“As part of our mission to serve and advance Kentucky, UK and UK HealthCare are expanding access to high-quality outpatient services through the development of a new medical office building in the Hamburg East area of Lexington,” said Eric N. Monday, UK’s executive vice president for finance and administration and co-executive vice president for health affairs.
Monday said the Hamburg area has the county’s largest concentration of UK employees, making the location convenient for employees and their families. Its proximity to I-75 and Winchester Road also provides access for Eastern Kentucky patients traveling to Lexington.
The building will offer adult and pediatric primary and urgent care, along with a multidisciplinary musculoskeletal program bringing together orthopedics, physical medicine and rehabilitation, and interventional pain services.
Other specialties will include women’s health, ear, nose and throat care, ophthalmology, dermatology, cardiology, neurology and rheumatology. The facility also will provide non-oncology infusion services, imaging, laboratory services and a full-service retail pharmacy with a drive-thru.
“Lexington, and residents from across the region, will be better served thanks to the University of Kentucky and UK HealthCare’s expansion at their Hamburg East location,” Mayor Linda Gorton said. “Our city is a centralized hub for many of Kentucky’s healthcare needs, from emergency and specialized services to routine care.”
UK HealthCare reports more than 3 million outpatient visits annually, including about 2 million visits to its ambulatory clinics. The Hamburg East facility is projected to accommodate approximately 300,000 outpatient visits annually by 2034.
“By thoughtfully bringing together primary care, advanced subspecialty services, imaging, laboratory services, therapy and pharmacy services, we are creating a more seamless experience for patients and families,” said Dr. Kristen Stakelin, UK HealthCare’s ambulatory chief medical officer.
The first phase will include the medical office building, landscaped green space, an arrival plaza and parking. It follows the UK Board of Trustees’ 2023 approval to acquire about 41 acres near I-75 and Winchester Road. Cowgill Inc., the original landowner and developer, began site preparation in February 2024 and completed that work earlier this year.
“This project is about more than a new medical office building; it is about investing in the future of and creating a place that will serve this community for generations,” said Norwood “Buddy” Cowgill Jr., president and CEO of Cowgill Inc.
The development is being delivered through a public-private partnership with PMB LLC, a health care real estate development company. PMB will plan, design, construct and finance the building and provide building operations and maintenance.
UK will retain ownership of the land and lease the project site to PMB for an initial 65-year term, with potential extensions. PMB will lease the completed facility to UK under an initial 15-year agreement with renewal options.
UK will oversee key design standards and clinical operations, while the partnership draws on PMB’s development and construction expertise.
“It is an honor to celebrate a project that shows what is possible when state government, the university, local leaders and private partners work together toward a healthier, more prosperous Kentucky,” Kentucky House Speaker Pro Tem David Meade said.
TagsEducationHealthcareLexington
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