Failing in their hope to dispose of St. Raphael's Hospital (I) by a sale to the State that was then looking for a location for a women's reformatory, the sisters converted St. Raphael's Hospital (I) to a nursing home. St. Joseph's Home (rear view) served the elderly for 78 years (Saint Benedict's Monastery Archives, McDonald, pages 261-262).
By 1889 the increased patient rate at St. Benedict's Hospital forced the sisters to look for larger quarters. John Coates and Daniel H. Freeman offered the sisters a five-acre site on the east side of the Mississippi River near the reformatory. The following year, because they were assured that a bridge, road, and even a streetcar line would connect that site with St. Cloud proper, the sisters built a three-story, up-to-date hospital there. Upon Bishop Otto Zardetti's request, it was named St. Raphael's Hospital. For ten years they labored against odds to make this venture a success in spite of the fact that the transportation facilities never materialized. When it became obvious that the site was unsatisfactory, the sisters planned to build another St. Raphael's Hospital (II), this time back on Ninth Avenue next to the site of their first hospital, St. Benedict's Hosptial (Saint Benedict's Monastery Archives, McDonald, pages 256-257).