ALBANY -  The Albany economy may take a negative hit with the announcement that their area hospital will be closing at the end of the year.

City administrator Tom Schneider says the decision to close the hospital will likely cut some jobs in town.

"We'll all have to adjust and the economic impact by losing probably some employees and staff to other hospitals isn't good for any community."

According to a news release from St. Gabriel's Health, data shows that more people in the Albany area are receiving care in St. Cloud, due to the amount of services available. The Albany Hospital had an average amount of just one patient and four emergency department visits per day.

Will Seiler is the owner and pharmacist at Albany Apothecary and says the announcement will also impact his business.

"We spend about 65 to 70 hours a month up there taking care of inpatients in the hospital and supplies, things like that."

CentraCare Health is expected to open a clinic at the space on January 1st, 2016, the plan is to offer as many jobs as possible to the current hospital employees. There may be other employment oportunities at St. Gabriel's Health facilities in Little Falls.

"They will offer a clinic but will no longer offer a hospital and we won't have emergency care either. So, those are some serious things that we'll be losing to the community," Schneider says.

CentraCare also plans to build a new medical clinic in Albany in the future.

Despite the news, both city and business leaders are optimistic that Albany will continue to grow.

We're a growing community and we're growing nicely. We just passed a referendum with a landslide vote, we've got great new businesses here and new homes. So you hate to see something like this happening were you have great paying jobs in a growing community," Seiler says.

Dan DeBaun, WJON