OMAHA, Neb. (AP) — Alegent Creighton Health is planning to replace Creighton University’s hospital with a new $35 million medical facility in northeast Omaha.

The company announced the 90,000-square-foot project on Sunday. Construction is scheduled to begin next spring, and the facility should be ready in late 2016.

The new facility at 24th and Cuming Streets will offer outpatient and emergency services, but Alegent Creighton is planning to move most of Creighton University’s in-patient services to its Bergan Mercy Medical Center near 75th Street and Mercy Road in 2017.

Omaha City Councilman Ben Gray says he’s glad the company will maintain an emergency department in the area.