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Houston healthcare expansion faces delays from data centers and equipment waits
Some Houston healthcare projects are seeing equipment lead times of 12 to 36 months, pushing planned launches further out.
Houston healthcare expansion plans around the Houston suburban fringe are being disrupted by economic volatility, supply chain issues, and construction inflation, with executives and builders pointing to added competition from data center development, according to Bisnow.
MD Anderson Cancer Center said cost certainty has become less predictable, and two projects it planned to launch within the next five years are now expected later as it prioritizes handling what is already underway amid cost increases.
The construction delays extend to specific equipment, with Shah Smith & Associates citing 12 to 19 months for medium-voltage switchgears, 18 to 26 months for substation transformers, and about a 36-month wait for gas-fired generators, which can delay when patients can be treated in new locations.
Industry participants said healthcare and data centers overlap in demand for some of the same construction inputs and power equipment, while tariffs on steel, aluminum, and copper and data centers taking up supply for materials such as steel and concrete are also weighing on project timelines, Bisnow reported.
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