Hospital in St. Louis area will close due to ‘increasing financial pressures’
St. Luke’s Des Peres Hospital will shut down in August. Health system officials cite persistent challenges with low utilization and said the facility is not viable.
After more than 50 years of serving patients, St. Luke’s Des Peres Hospital is about to close its doors.
St. Luke's Des Peres Hospital is slated to close Aug. 1 due to mounting financial pressures, the system said this week.
St. Luke’s says the 143-bed acute care hospital, based just outside St. Louis, will end all services on Aug. 1. The system made the announcement Monday.
The system said it made the “difficult decision” due to low occupancy, changes in the healthcare landscape and its long-term priorities.
“Despite the dedication and hard work of our team members, the hospital has faced persistently low utilization and increasing financial pressures, making continued operation as an acute care facility no longer viable for St. Luke’s,” the system said in a news release.
“Though this decision was not made lightly, it reflects our commitment to long-term sustainability and our vision for a stronger, more focused future in delivering exceptional care,” the system said.
A faith-based, nonprofit system, St. Luke’s operates its main hospital, a 493-bed facility, in Chesterfield, Missouri, along with more than 30 other outpatient locations in the St. Louis region. St. Luke’s touts its pride in being the only independent hospital organization in the area.
It’s unclear how many people will be losing their jobs with the hospital’s closure. A news release didn’t specify how many positions would be lost, and a Missouri state government website that publishes notices of layoffs didn’t list any information on the hospital Tuesday night.
St. Luke’s said it would work to help employees find other positions within the system.
“We are deeply committed to supporting our team members throughout this transition, ensuring they are treated with the dignity, respect, and transparency they truly deserve at every step,” the system said in a news release. “That includes offering appropriate positions within the St. Luke’s system to as many team members as possible and providing fair severance packages, career transition services and job placement assistance for those whom we are unable to place internally.”
The health system said that clinicians would work to provide a smooth transition for patients. St. Luke’s Medical Group practices in Des Peres will remain open to serve patients.
St. Luke’s first acquired the Des Peres hospital in 2018.
St. Luke's holds about 12% of the inpatient market share in the St. Louis region, trailing Mercy Hospital of St. Louis, which holds 25% of that market, according to an April 2025 report from Fitch Ratings. St. Luke’s holds an “A+” rating and a stable outlook from Fitch, which cites its solid market share and a good payer mix.
In recent years, St. Luke’s has been concentrating on building more outpatient locations and recruiting additional physicians, Fitch noted.
Mercy is planning to build a $635 million, 75-bed hospital in Wentzville, a community 40 miles from St. Louis. It's slated to open in 2028.
St. Luke's roots trace back to its founding by leaders and members of the Episcopal Church in 1866. The Des Peres hospital opened in 1974.
The system said it’s aiming to maintain a strong presence in the region.
“St. Luke’s remains committed to serving the healthcare needs of the St. Louis area with compassion and excellence,” the system said.
