New Orleans East Groundbreaking Heralds Return of Hospital

New Orleans Mayor Mitch Landrieu and Archbishop Gregory Aymond are among the dignitaries set to take part in the groundbreaking for a facility aimed at bringing full hospital service back to the New Orleans East area.

The $130 million project is to be constructed on the site of the former Pendleton Memorial Methodist Hospital.

Friday's ceremony, which had been re-set after a pre-holiday postponement, marks the pending return of a full-service hospital to an area hard-hit by Hurricane Katrina in 2005.

Landrieu said in October that the U.S. Department of Housing and Urban Development had paved the way for construction by agreeing to insure a $97.6 million loan for the hospital.