Encompass Health Corp. (NYSE: EHC) today announced plans to expand inpatient rehabilitation capacity in the greater Houston area through two projects in Montgomery County, Texas: the Company’s first small-format inpatient rehabilitation hospital in Conroe and a replacement hospital for its existing inpatient rehabilitation hospital in The Woodlands.
Expanding Access to Encompass Health Services
The 24-bed Conroe hospital will operate as a satellite location of Encompass Health Rehabilitation Hospital of The Woodlands, bringing specialized inpatient rehabilitation care closer to patients in Conroe and surrounding communities. The hospital is expected to open in late 2027.
The Conroe project marks the Company’s first small-format inpatient rehabilitation hospital, a new development model designed to complement its traditional hospitals and extend care into growing communities. Small-format hospitals will operate in connection with an existing Encompass Health hospital, allowing them to leverage established resources and expertise while expanding the Company’s reach within a market. The model provides Encompass Health with an additional avenue to meet growing demand for inpatient rehabilitation services and bring specialized care closer to more patients.
“We are excited to strengthen our ability to serve patients throughout the greater Houston area while expanding our existing footprint,” said Craig Funk, group president of Encompass Health’s Southwest region. “By opening our first small-format hospital in Conroe, we will increase access to high-quality inpatient rehabilitation care closer to home for patients in communities north of Houston. This new model allows us to extend the reach of our existing hospital into growing communities while maintaining the high standards of care patients expect from Encompass Health.”
In addition, Encompass Health plans to construct a new 60-bed replacement hospital on the existing Woodlands campus. The modern facility will feature all private patient rooms and enhanced amenities designed to support recovery. Construction is planned to allow the existing hospital to continue serving patients without interruption. The replacement hospital is expected to open in 2029.
“We are making a significant investment in our longstanding presence in The Woodlands through a new, state-of-the-art replacement hospital that will enhance the patient experience for years to come,” said Funk. “Together, these two projects demonstrate our commitment to both strategic growth and continued investment in the communities we serve.”
Both hospitals will serve patients recovering from major illnesses and injuries, including stroke and other neurological conditions, brain and spinal cord injuries, amputations and complex orthopedic conditions. Patients will receive 24-hour nursing care and physical, occupational and speech therapy from an interdisciplinary team of specialized nurses, therapists and physicians to help restore function and improve quality of life.