On 26 March 1941, A Station Hospital was established at Fort Eustis with COL William Bordon as its first commanding officer.
Declared surplus property by the war department in 1944, the hospital was transferred to the Navy Department to be utilized as a Naval Hospital. Commanded by CAPT Hardy Vernon Hughes, Medical Corps, in 1944, he was directed to convert and rebuild a station hospital. On 1 February 1946, the hospital was closed and reactivated by the U.S. Army. It was dedicated on 23 March 1961 to the memory of BG Robert McDonald, Army Medical Corps, a pioneer in the establishment of Intra-Theater Medical Transfer and Evacuation. The core facility was constructed in 1964 with additions in 1976, 1993, 1998 and 1999.
The Hospital transition from a United States Army Hospital to a United States Army Military Treatment Facility in 2005. In 2007, a Warrior Transition Unit was established to support and transition wounded warriors evacuated from theater, and from across Fort Eustis, Fort Story, and Fort Lee Virginia. The Warrior Transition Unit deactivated in June 2016.
Major services at McDonald Army Health Center include adult and pediatric primary care, troop medical services, specialty care and ambulatory surgical services with McDonald surgeries performed onsite at Langley Air Force Base. In May 2019, the organization expanded services and established a community based medical home in Williamsburg, Virginia, which offers adult and pediatric primary care, laboratory, pharmacy, and physical therapy. Located in the Tidewater Enhanced Multi-Service Market, McDonald Army Health Center partners with Naval Medical Center Portsmouth, United States Air Force Hospital Langley, and the Veterans Administration Hospital, Hampton, Virginia, to provide care for over 27,000 enrolled beneficiaries.