Its extensive former grounds occupy the northern sections of Delaware County west of the city of Philadelphia, in Haverford Township.
Its closure was partly due to a lawsuit based on the Americans with Disabilities Act of 1990, as well as the general deinstitutionalization of the state hospital system.
On November 14, 2006, the Haverford Township Board of Commissioners approved the Agreement of Sale and Preliminary Land Development Plans.
The so-called Haverford Reserve development was to include 100 carriage homes and 198 condominiums, as well as several athletic fields and over 120 areas for passive recreation.
[3] Demolition of the hospital began in early June 2007, beginning with the administration and recreation buildings, followed by the extended treatment and geriatric wards.