Built between 1887 and 1896, Kahlenbergstift was one of the first city hospitals in Wilhelmstadt (the area is now the Stadtfeld Ost district of Magdeburg). Along with general practice, the hospital also had a surgical department, gynecological department, school for nurses, and also cared for the aged. The hospital was heavily damaged by allied air raids in World War II, but was quickly repaired to restore medical services in the area.
In 1957 all divisions of Kahlenbergstift were relocated to the Magdeburg Medical Academy, and the old buildings were re-purposed as a military hospital for the Soviet armed forces. When the Russian army evacuated Germany in the early 1990s, the hospital was left in disuse; the historic buildings began to decay even though they were protected monuments. The property was purchased by a company in the mid-90s, but still the buildings languished. In 1998, a residential community was built on the northernmost area of the site.
In March 2011, a small fire was extinguished inside one of the buildings, but only one week later a massive blaze engulfed the structure, which eventually led to the demolition of the remaining hospital buildings.