City Council approves agreement for rehab hospital

The City Council approved on Sept. 28 an agreement with Medistar to develop a rehabilitation hospital in northeast Round Rock. The $17 million, 48,000-square-foot inpatient rehabilitation hospital will employ at least 75. It will be operated by Post Acute Medical, LLC.

The state-of-the art facility will be located near the intersection of North A.W. Grimes Boulevard and Medical Center Way, near the Round Rock campuses of Texas A&M Health Science Center, Texas State University and Austin Community College.

“We’re thrilled to have another major healthcare facility call Round Rock home,” Mayor Craig Morgan said. “It will provide needed medical services to the region, and expand an important sector of our local economy.”

Under terms of the five-year agreement, Medistar agrees to invest $17 million and employ 75, with an average annual salary of $55,000. In return, the City will abate 100 percent of property taxes in years 1-2, 50 percent in years 3-4, and 25 percent in year 5. The estimated value of the tax abatement incentive is $237,575 over the five-year term.

The City agrees to waive up to $100,000 of site preparation, construction permit and inspection fees for the facility and will fast track the permit and development approval process. The City will pay a $30,000 economic incentive payment 30 days after the facility opens, expected in 2019.

“Post Acute Medical is excited to bring comprehensive care for rehabilitation patients with complex conditions to the Round Rock community and surrounding areas,” says Anthony Misitano, President and CEO of PAM. “Throughout all the communities we serve, we put the patient first and provide comprehensive, individualized treatment that fosters meaningful improvement and recovery for people with injuries, illnesses and disabilities.”

The hospital will provide comprehensive inpatient and outpatient therapy services, featuring:

  • Forty private inpatient beds
  • Inpatient physical, speech and occupational therapies
  • Outpatient physical, speech, and occupational therapies
  • Traumatic Brain Injury (TBI) Unit
  • Emergency treatment unit
  • Respiratory therapy services
  • Imaging suite
  • Laboratory

Medistar is a Houston-based medical real estate development company.




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