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Danvers State Hospital & Waverly Hills Sanatorium
Have you ever thought about using a mental hospital in your story? The reasons people were admitted to these institutions suggest many different story ideas, as does the ways they were treated. And there were some who treated the supposed mentally disabled in ways that were not so nice.

Many of these institutions are said to be haunted. The Danvers State Hospital in Massachusetts and the Waverly Hills Sanatorium in Kentucky are two such places. These two hospitals, no longer open for patients, are only open for tours. What happened behind these walls?

http://www.bellaonline.com/articles/art178487.asp

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