The hospital opened in 1962. It has dedicated itself to treating some of the poorest and sickest patients of the East Bay since its inception. In 2012 it was nearly bankrupt but was bailed out with $12 million from the county of Alameda, Kaiser Permanente, and others. With Kaiser Hayward planning a relocation to San Leandro, St. Rose will be the only hospital in the city. The hospital considered plans to either be taken over by Alameda County Medical Center, or Lex Reddy, formerly with the embattled Prime Healthcare Services, and the brother-in-law of Prem Reddy. Reddy's firm, Alecto Healthcare Services, began managing St. Rose in 2013.