Encompass Health Corp and Cookeville Regional Medical Center to Build New Rehabilitation Hospital
1. New Facility Announcement
On April 22, 2026, Encompass Health Corp. (NYSE: EHC) announced a significant partnership with Cookeville Regional Medical Center to establish a new 40-bed inpatient rehabilitation hospital in Cookeville, Tennessee. This hospital will be located on the campus of Cookeville Regional Medical Center and aims to fulfill the increasing demand for rehabilitation services in the Upper Cumberland Region.
2. Addressing Regional Healthcare Needs
Abe Sims, president of Encompass Health's MidAtlantic region, highlighted the growing necessity for rehabilitation care in this area, particularly due to its status as a premier retirement destination with a rapidly aging population. Sims stated, "By expanding access to high-quality inpatient rehabilitation services closer to home, patients will no longer need to travel to Knoxville or Nashville to regain independence following an illness or injury." This initiative reflects Encompass Health's commitment to enhance local healthcare accessibility.
3. Comprehensive Patient Care
The new facility will cater to patients recovering from various conditions, including strokes, neurological disorders, brain and spinal cord injuries, amputations, and complex orthopedic issues. The hospital will offer 24-hour nursing care and a variety of therapy options—physical, occupational, and speech therapies—designed to help patients restore their function and improve their quality of life. An interdisciplinary team, consisting of specialized nurses, therapists, and physicians, will deliver care tailored to each patient’s needs.
Buffy Key, CEO of Cookeville Regional Medical Center, emphasized the state-of-the-art nature of the planned facility. “This state-of-the-art facility is designed to support patients recovering from serious illness, injury or surgery,” she said, noting that every patient room will be private, reflecting both institutions' dedication to patient comfort.
4. Advanced Facilities and Features
The new hospital will feature a wide array of facilities, including:
- A state-of-the-art therapy gym equipped with advanced rehabilitation technologies.
- An activities of daily living suite.
- An in-house dialysis suite.
- A dining room, pharmacy, and an outdoor therapy courtyard.
These facilities are designed to create a conducive environment for recovery and rehabilitation, ensuring that patients receive the best possible care.
5. Timeline and Operational Details
Encompass Health has already commenced management of Cookeville Regional Medical Center's existing 20-bed inpatient rehabilitation unit as of January 1, 2026. This unit will remain operational throughout the construction of the new hospital, with the 20 beds transitioning to the new facility upon its completion. The hospital is expected to open its doors in 2027, marking Encompass Health's 12th location in Tennessee and contributing to its extensive national network of inpatient rehabilitation hospitals.
6. About Encompass Health
Encompass Health is recognized as the largest owner and operator of inpatient rehabilitation hospitals in the United States, with a footprint that spans 174 hospitals in 39 states and Puerto Rico. The company is known for providing high-quality rehabilitative care using advanced technology and innovative treatments. Encompass Health has garnered numerous accolades, including recognition as America’s Most Awarded Leader in Inpatient Rehabilitation by Newsweek and Statista.
This new partnership with Cookeville Regional Medical Center represents a strategic step in Encompass Health's ongoing commitment to expanding access to vital rehabilitation services, ensuring that patients can receive the care they need closer to home.