More than 122 million Americans live in mental health workforce shortage areas, with only 27% of behavioral health care needs met in these regions. These numbers, from a 2024 report by the nonprofit Mental Health America, highlight systemic gaps despite increased efforts by U.S. providers to address a widely acknowledged mental health crisis.
In an effort to address bed shortages, Acadia Healthcare, the nation's largest stand-alone behavioral health provider, has developed partnerships with 21 health systems through joint venture hospitals.
The company currently operates 11 joint ventures, with more expected to open within the next few years. These partnerships are part of Acadia’s affiliated network’s response to what industry analysts describe as a critical shortage of approximately 75,000 behavioral health beds nationwide.
Health Systems Turn to Partnerships to Fill Critical Gaps
Joint venture models have gained traction as hospitals struggle to balance behavioral health demands with limited resources and expertise. Medical health systems often lack the specialized knowledge required to operate psychiatric facilities effectively.
Behavioral health care requires distinct operational capabilities that often differ from traditional medical services. Without partnering with other providers, hospital systems looking to expand access to meet mental health demand might need to recruit specialized staff including psychiatrists, behavioral health nurses, and social workers, professionals already in short supply. They would also need to ensure expertise in behavioral health regulations, treatment protocols, and quality metrics that vary from standard medical care.
Behavioral health facilities require different physical environments, safety protocols, and patient management systems than general – a.k.a. medsurge - hospitals. Building this infrastructure internally could require years of development, potentially diverting resources from existing medical specialties where these health systems already have established expertise.
"The strong relationships we've built with our referral sources and our 21 joint venture partners continue to be an important part of our strategy for success," Hunter said during the company's 2025 first quarter earnings call. "Acadia continues to be the preferred partner for leading health systems with both local and national brand recognition across the country to better serve patients by bridging the gap between physical and behavioral healthcare."
Recent joint venture openings across Acadia’s affiliated network include West Pines Behavioral Health in Westminster, Colorado (144 beds) through partnership with Intermountain Health, and a 192-bed facility in West Bloomfield, Michigan, developed with Henry Ford Health. Additional facilities under construction include a 144-bed hospital in Greenville, North Carolina, with East Carolina University Health, and a 96-bed Geisinger Behavioral Health Center in Danville, Pennsylvania.
Chris Hunter, Acadia Healthcare CEO, emphasized the company's role in addressing systemic gaps.
“In the first quarter [of 2025], we added 378 new beds, comprised of 90 beds to existing facilities and 288 beds from two new facilities that were opened in the quarter, which includes a joint venture hospital in partnership with Henry Ford Health in West Bloomfield, Michigan and a de novo facility in Northport, Florida," he said.
"The need for behavioral health care in this country is increasing while the number of available beds has been decreasing, creating a broadening gap and leaving those patients who need the most care unable to get it.”
Addressing Workforce and Capacity Constraints
The joint venture model aims to address multiple aspects of the behavioral health crisis simultaneously. Health systems gain access to specialized expertise while Acadia's affiliated network expands access to care given its geographic reach and bed capacity. In 2024 alone, the organization's affiliated facilities added approximately 1,300 new beds to underserved areas, with plans to construct over 2,000 additional beds in the next two years.
Workforce shortages compound the bed shortage problem. A Mental Health America report found that there are approximately 340 patients for every one mental health provider nationally. The Substance Abuse and Mental Health Services Administration projects the United States will be short approximately 31,000 full-time equivalent mental health practitioners in 2025.
Joint ventures can help address these constraints by pooling resources and expertise. Medical health systems contribute infrastructure, regulatory relationships, and community connections, while behavioral health organizations such as Acadia Healthcare can provide specialized behavioral health operations, staffing protocols, and established care pathways.
Geographic Distribution Addresses Regional Disparities
Current joint venture locations span multiple states, with facilities planned or operational in Colorado, Michigan, North Carolina, Pennsylvania, and Massachusetts. This geographic distribution addresses regional variations in behavioral health access, particularly in states that have historically a particularly significant need to expand access to behavioral health care.
The partnership approach allows Acadia Healthcare and other premier health systems to collaborate in ways that help to advance access to care.
Joint ventures can enable customization of services to meet regional needs. Partners can develop specialized programs for specific populations, such as pediatric behavioral health or trauma-informed care, based on local demographics and clinical requirements.
For the full year 2025, we expect to add between 801,000 total beds," Hunter said. "Looking forward, we have a solid pipeline of potential opportunities in attractive markets and expect to add between 608 beds annually over 2026 to 2028.
