In 1906, John H. Kahler started a company to build additional hospital facilities for patients in close proximity to the Mayo brothers offices in downtown Rochester. He built dual-purpose hotel/hospitals, complete with operating rooms.
In the early 1950s, the Kahler Corporation opted to get out of the hospital business. A group of citizens, including former U.S. Supreme Court Justice Harry Blackmun (then a Mayo Clinic legal counsel) persuaded the Methodist Church to assume sponsorship of the hospitals in 1954. The two groups were affiliated in spirit only — the decision was made that the hospital would be an independent hospital.
In 1966, the older facilities were replaced with a new 794-bed facility, dedicated as Rochester Methodist Hospital.
In 1986, Mayo Clinic, Rochester Methodist Hospital and Saint Marys Hospital integrated their operations under one governing board to more efficiently serve the needs of Mayo patients.