City leaders say it would help families who have a loved one in the hospital by giving them a nearby place to stay and easy access to other services. They say it would also stimulate the local economy through developer fees, sales tax revenue, and job creation.
Merced Economic Development Manager, Frank Quintero said, "The hospital was built and is serving as a catalyst for people to then say what can we do to support the hospital but then also generate some jobs and just generate some overall activity."
The proposal will go to the city council for approval as soon as July, and construction could begin in about a year.
