It's possible to find examples of 校院 being used online, e.g. 校院简介.
Question: What's the difference between 校园 and 校院? Is 校院 incorrect?
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They refer to different things.
校院 means 校 and 院. In most cases they mean 学校(school) and 学院(college/academy/institute), e.g.
According to the context, they might mean 学校 and 医院, e.g.
PS: 校院 is infrequently used because we have another much more common word 院校 (学院 and 学校). 校院 seems to be used only when the order does matter. E.g. in 校院简介 and 实行校院两级管理体制, 学院 is considered as the lower level unit of 学校, then 校院 should be used.