The state could finally sell the old Rex hospital
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The former Rex hospital in Raleigh seen on a cloudy day in 2023. Photo: Zachery Eanes/Axios
The old Rex Hospital in Raleigh could be sold by the state next year after years of speculation about the future of the Wade Avenue property.
Why it matters: The nearly 16-acre property, between the Village District and Hayes Barton, could become one of Raleigh's most attractive redevelopment sites.
- The property currently has an assessed value of $58.3 million, according to Wake County records.
State of play: The hospital has been in state control since 1981 and is currently the home of the Division of Employment Security (DES), which is part of the state's Department of Commerce.
- But a law passed last year mandates that DES moves to a new office by next April. (The Commerce Department has found space for the division in a building off Capital Boulevard.)
- "Old Rex Hospital is just that: Old. It is time to get out," N.C. Commerce Secretary Lee Lilley said in a statement. "This move is an investment in our team and the environment where they work each day. We look forward to beginning this next chapter in our new home."
Driving the news: Once DES moves, the law also calls for the state to find a partner to redevelop the site or sell it.
- Real estate experts have previously told Axios that the land will likely attract a lot of attention from buyers, given how rare it is for a property of that size to become available inside the Beltline.
The big picture: The potential sale of the Rex property is part of a larger effort by state government to sell off properties it no longer needs or that require too much upkeep.
- The city of Raleigh has taken advantage of the change in notable ways already, buying the former Dix Hospital and turning it into Dix Park and the former DMV headquarters on New Bern Avenue.
- Raleigh is deciding how to best redevelop the old DMV property.
What's next: More sales could be coming.
- The state owns five historic houses in the Oakwood neighborhood that are now underutilized, some of which are essentially used for storage. WUNC reports that some residents and members of the legislature want the houses sold.