According to Movie-Locations, the shuttered (no pun intended) chapel at Medfield State Hospital, located at 45 Hospital Road in Medfield, Massachusetts, served as the central building for Ashecliffe. The sprawling campus was the state's first psychiatric hospital and was active until officially shutting down in 2003. Unfortunately, many buildings had fallen into disuse before then. In 1994, the site was added to the National Register of Historic Places, and as noted by Atlas Obscura, curious sightseers can walk the grounds of the historic site. Fans of "The New Mutants" and "The Box" will also recognize Medfield as the setting for both films. However, the foreboding entrance to Ashecliffe Hospital doesn't exist. The facade was built against a sidewall of the hospital exclusively for the film.
Despite its long history, Medfield Hospital isn't considered haunted. According to Locations of Lore, not much exists in the way of scary stories for the hospital. That hasn't stopped town residents from taking advantage of the location's spooky presence. In 2020, local organizations used the location for a quarantine-friendly haunted drive-thru (via Patch), and filming is still allowed (with permits) on the premises. Don't think about venturing inside one of the buildings to look for Teddy, though; they are dilapidated and closed to the public.