The hospital is located in Izu, in the Shizuoka Prefecture. It's located 50m from the Namiki Inn.
After Nobuko's body is taken over by a parasite, and severly injures Kazuyuki, he is transported to the Sakurazaki Hospital where his wounds are treated.
Days later, Shinichi recieves a phone call from a a nurse in the hospital, giving him the details on his fathers condition. On the ferry a young girl, Makiko, decides to show Shinichi where the hospital is, due to its location being near her own home.