Meritus commissioned a study of the site, and planners presented their results at a community meeting in Hagerstown.
They recommended building three commercial office buildings on the site and 69 new town homes. The plan also includes parks and possible retail space.
Some residents said they were concerned about the economy. But Meritus officials say they've already heard from developers who are interested in the site.
"We do see positive turns in the community, we do see some positive returns within our economy and we're hopeful that this sort of of development may occur in the next 3 to 5 years," says Raymond Grahe, CFO for Meritus Health.
Meritus says they want to be open with the community about progress on the site. The development could happen within the next few years.