City and county officials are celebrating the pending demolition of the former Reid Hospital campus in Richmond. Mayor Dave Snow says Reid Health has pledged an additional $1 million toward the project, which contractors say will begin immediately.

The demolition was originally estimated to cost more than $8 million. However, the mayor said Thursday the current estimate is about $4.1 million, including demolition, remediation, construction inspection and insurance. Indianapolis-based Renascent Inc. was selected in November as the contractor for the project.

Reid Health says it has agreed to pay $500,000 related to claims by the Indiana Department of Environmental Management for contamination in the soil and groundwater. The health system is donating an additional $500,000 to help cover the cost of the project.

"Many of us at Reid who lived, worked and cared for that campus have grieved over what became of our former home. Many of us hold fond memories of our time working there and caring for patients there. Many of us were also patients there and had our children at that campus," said Craig Kinyon, chief executive officer of Reid Health. "To watch these buildings literally die before our eyes has been heartbreaking. It didn’t have to happen this way. But it’s wonderful for the community that this project is under way."

The Economic Development Corp. of Wayne County previously pledged $1.42 million toward the demolition as well. The city was previously considering taking out loans to cover the cost of the project, but scrapped those plans after the low bids were submitted.

Reid Health moved away from the site in 2008 and the campus remained vacant and fell victim to vandals over the past nine years. The city of Richmond is the current owner of the property and says it holds a tax certificate which will allow it to title the property in February.

Renascent says the demolition will take about a year to complete.