The University of Texas at Austin (UT Austin; Austin, Texas) plans to build a new medical center on its campus near the Dell Medical School.

The former Frank Erwin Center events arena events is being demolished to make way for the new University of Texas at Austin Medical Center.

The project will comprise two new hospitals—a state-of-the-art UT Austin specialty hospital and an MD Anderson Cancer Center, with 156 beds and 230 outpatient exam rooms, according to the website communityimpact.com.

Demolition of the arena is underway, and construction on the hospital towers is expected to start in 2026 at an estimated cost of $2.5 billion.