Bloomington, Indiana – The City of Bloomington is entering a new phase in one of its most ambitious undertakings in decades—the redevelopment of the former IU Health Bloomington Hospital grounds into what will become the Hopewell Neighborhood. Officials say the project represents not only a physical transformation of land but also a broader commitment to housing, accessibility, and long-term community growth.
The Hopewell site, located in the heart of the city, has been the focus of planning and discussion since the hospital relocated in late 2021. City leaders have made it clear that their vision for Hopewell is to create a mixed-use, mixed-income neighborhood that expands attainable housing choices while also providing modern infrastructure and public amenities. To get there, a series of construction projects—some already underway and others scheduled to begin in the coming weeks—will reshape streets, utilities, sidewalks, and building sites across the district.
West Second Street Modernization
One of the most visible efforts will take place along West Second Street, where a federally funded roadway reconstruction project is set to modernize the stretch between South Walker Street and the B-Line Trail. The work includes extensive upgrades to underground utilities—water, sewer, natural gas, electric power, and communications systems—that are already in progress.
According to the City of Bloomington, lane restrictions and intermittent closures of both streets and sidewalks will continue through June 2026. The full roadway reconstruction is scheduled for the latter half of that year, from June through November. While construction will be disruptive, officials stress that the improvements are necessary to handle future demand and ensure the new neighborhood has safe, reliable infrastructure.
Phased Utility Work Near Rogers Street
In addition to the Second Street overhaul, Bloomington Utilities crews are advancing on a series of phased projects around the Rogers Street corridor. Much of this work focuses on replacing aging water and sewer lines, which are essential for supporting future residential and commercial buildings at Hopewell.
Phase 3 of the project begins late Sunday, Sept. 21, and will close the B-Line Trail and Morton Street. Both are expected to reopen the next day, Monday, Sept. 22. Phase 4 begins immediately after, with West Second Street closed from just west of the B-Line Trail to east of Rogers Street. This stage, scheduled through Oct. 8, includes sewer and water line upgrades along with water line testing and road restoration.
For Phase 5, overnight work will temporarily close the intersection of Rogers Street and West Second Street from 8 p.m. on Oct. 8 to 6 a.m. Oct. 9. Phase 6 will follow, with portions of West Second Street reopening on Oct. 9 if progress stays on track. City staff caution that the schedule is weather dependent and subject to change.
Officials emphasize that while closures are inconvenient, they are part of building reliable systems for the long term. “All temporary closures are necessary to ensure reliable water and sewer service throughout the city and to support Bloomington’s future growth,” the City stated.
Hopewell West – Jackson Street Project
Another key component of the redevelopment centers around the creation of new roads and sidewalks to support housing construction. The Hopewell West – Jackson Street project is a locally funded effort that will serve the Kohr Hospital Administration Building site, which is being converted into affordable housing.
Work here includes building a brand-new road—South Jackson Street—as well as a new alleyway. Improvements along South Rogers Street are also planned, such as a 10-foot sidewalk, new tree plots, bicycle lanes, street lighting, and utility enhancements.
Construction has already started, beginning with lane shifts on Rogers Street and a closure of the west side sidewalk. Future phases will bring additional lane shifts and an east side sidewalk closure, though both lanes of Rogers Street will generally remain open. Temporary closures could still occur near the Rogers/Second Street intersection as utility work continues.
West First Street is slated for a full closure in early October to complete crosswalk connections for the expanded sidewalk network, following the conclusion of utility upgrades between Rogers Street and Fairview Street.
Affordable Housing At Kohr Community Flats
Perhaps the most significant building project now visible at Hopewell is the Kohr Community Flats development, located at the northwest corner of the First and Rogers intersection. This affordable housing complex will provide much-needed units for residents seeking reasonably priced options close to downtown. Construction is progressing steadily, and the building is expected to be completed and ready for move-ins by summer 2026.
In tandem with this effort, environmental remediation work has begun on the site of a former gas station near the Second and Rogers intersection. Starting Sept. 8, crews began soil cleanup operations to prepare the property for safe redevelopment. Trucks will be frequently entering and exiting the area during this process, and drivers are urged to use caution when traveling nearby.
Phased Redevelopment Strategy
The City of Bloomington has adjusted its approach to Hopewell’s redevelopment over the past year. Earlier rounds of bidding for construction packages were rejected after officials determined they did not align with the city’s financial goals or housing affordability targets. In response, leaders shifted to a phased model, where the city manages infrastructure improvements while partnering with builders on specific parcels.
That approach has already brought in national expertise. Bloomington is working with Flinklock LAB, a firm known for community-based housing solutions. Together, they are developing a set of pre-approved home designs aimed at cutting costs and speeding up construction. The partnership also establishes legal frameworks for a mix of market-rate and permanently affordable homes, while creating more opportunities for local developers to participate.
Looking Ahead
For residents, the construction means months—and in some cases years—of closures, detours, and heavy machinery in what was once a quiet stretch of downtown. But city leaders say the long-term payoff will be worth the temporary disruption. The goal is a vibrant neighborhood that blends housing, retail, green space, and modern infrastructure, all in the footprint of the old hospital.
The Hopewell Neighborhood is envisioned as Bloomington’s next great downtown community, one that offers both economic opportunity and inclusive housing. While deadlines stretch into 2026 and beyond, each completed phase brings the city closer to realizing that vision.
The City has expressed gratitude to residents for their patience as the work continues. Updates on construction schedules and neighborhood plans can be found at bloomington.in.gov/hopewell.
