The Upper Darby School District has officially acquired the long-shuttered Delaware County Memorial Hospital, a move that could reshape a key section of Drexel Hill and open new possibilities for future development in the community.

According to documents filed in U.S. Bankruptcy Court, the district finalized the purchase for $600,000 from California-based Prospect Medical Holdings, the previous owner of the 66,000-square-foot hospital property. The deal also converts millions in unpaid property taxes into unsecured debt, clearing the way for the district’s redevelopment plans.

What’s Included in the Purchase

The property spans 7.7 acres at Lansdowne and Keystone Avenues, just a quarter-mile from Upper Darby High School. In addition to the main hospital building, the acquisition also includes:

• An adjacent medical office building

• A parking garage

• Two additional smaller structures on the campus

The site, once part of the Crozer Health system, has been vacant for nearly three years since Crozer closed the hospital.

What Happens Next

The school district has announced plans to demolish the hospital, office building, and garage, clearing the land for future educational needs. While specific uses have not yet been disclosed, the purchase provides a rare opportunity for large-scale redevelopment in a densely populated section of Delaware County.

Why This Matters for Real Estate & the Community

The transformation of this high-profile site could have ripple effects on Upper Darby real estate values, community infrastructure, and local economic growth. Redeveloping former commercial or healthcare properties into educational or community-use facilities often brings stability to neighborhoods and can attract new interest from families looking to move into the area.

For real estate professionals and homebuyers, this type of redevelopment signals long-term investment in the community, which can drive demand in nearby housing markets.

📌 Source: Philadelphia Business Journal, August 18, 2025.