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Hospital redevelopment modernises healthcare access for growing region

27 Jan, 2026
By Berkay Erkan
Hospital redevelopment modernises healthcare access for growing region



The Frankston hospital redevelopment – the largest health infrastructure investment in Melbourne’s southeast – has reached practical completion and is set to open to patients on 20 January 2026, under its new name Peninsula University Hospital.

Designed in consultation with the community and staff to convey a welcoming interior and an external façade that evokes the natural beauty of Frankston and the Mornington Peninsula, the project combines modern healthcare provision with design inspiration drawn from the healing attributes of Country.

The $1.1-billion renewal project is being delivered in a public-private partnership by the Victorian Health Building Authority (VHBA) with Peninsula Health and the Exemplar Health consortium, and will cut patient wait times and reduce pressure on other Melbourne hospitals.

An additional $10 million in federal funding was granted to support the development of the new emergency department.

Priscilla Radice, Chief Executive Officer at VHBA, said the completion of main works signalled a new chapter in healthcare for Melbourne’s southeast, with the improvements designed to enhance service delivery and patient experience, as well as create a state-of-the-art working environment.

Radice said: “It’s been amazing to see the millions of hours that have gone into this project and all the design elements that make the redevelopment truly unique, from the hospital tower façade to the incredible Australian artwork inside.

“This has been such a fantastic example of a strong partnership between the Victorian Health Building Authority, Peninsula Health and the Exemplar Health consortium to deliver an incredible and transformative outcome for the Frankston community.”

When fully operational, the hospital will have the capacity to treat about 35,000 more patients every year, with enhanced healthcare provided through a new all-electric tower with 12 levels of clinical services, 130 more beds, a new main entrance, a new operating theatre suite with 15 new theatres, and a helipad to support safe transfer of critically ill patients.

The helipad’s location on the roof of the new tower means patients can be seamlessly transferred into the new emergency department, an upgrade from the previous helipad which was located on ground level with no direct connection.

The existing emergency department has been redeveloped to include a dedicated paediatric zone, and a new mental health and alcohol and other drugs hub, providing fast-tracked, tailored and specialised treatment for patients, while easing pressure on the emergency department and improving safety.

The hub is designed to ensure patients are assessed and treated with tailored care by an emergency department mental health team of psychiatrists, mental health nurses and social workers.

The specialist women and children’s care unit was expanded to support Frankston’s growing population, with a new maternity, obstetrics and paediatric ward, a women’s clinic, and a special care nursery to support babies in their critical first weeks.

Taking up an entire floor, it will also include endometriosis and pelvic pain multidisciplinary clinical services, and an advanced laparoscopic gynaecology specialist and allied health team, including physiotherapy.

Minister for Mental Health Ingrid Stitt said: “With a new mental health and AOD hub in the emergency department, the redeveloped Frankston Hospital will provide better access to specialist mental health care for families in the south east and the Mornington Peninsula.”

Hospital redevelopment modernises healthcare access for growing region

Main Reception

Designed to embody the landscape of the region, the reception area showcases three massive wooden beams resembling native trees, while a large canopy evokes the appearance of sea foam found along the nearby coastline.

The façade reflects the natural beauty of the surrounding countryside, while the fit-out was developed in consultation with the community and staff to create a warm and inviting interior.

Three renowned Australian artists also completed works inside the building that reflect the strong connection between land, culture, and wellbeing, with the theme ‘Healing Country, Healing People’.

‘The Pillar’, Dan Elborne’s 3.6-metre-high sculpture outside the new main entrance, features handmade clay tiles uniquely engraved by more than 300 Frankston hospital staff, patients and visitors.

Hannah Quinlivan’s 28.5-metre-long ‘Whispers of the Wetlands’ mural and sculpture welcomes visitors once they’re inside the main entrance, drawing inspiration from the creeks and rivers of the Carrum Carrum wetlands.

The third piece by Jody Rallah, a multidisciplinary Yuggera-Yuggerabul/Biri-Bindal artist, features in the courtyard outside the main entrance.

Titled ‘Inner Guidance’, it is made with sustainable, locally-sourced materials and portrays coastal banksia and short-finned eels – a native species that transforms throughout its lifecycle – representing resilience in the face of obstacles.

Member for Frankston Paul Edbrooke said: “This project is a game-changer for our local community and once doors open next month, local families will have better access to care and support on their doorstep.”

Construction was delivered by builder Lendlease, with the redevelopment’s peak workforce reaching about 900 people on-site each day.

Since June 2022, more than 5,200 workers have been involved in the redevelopment, collectively working three million hours or more than 300 years.

Educating the next generation was a key focus for the project, with a strong pipeline of skilled younger workers, including more than 400 apprentices, trainees, and cadets, 16 of whom were supported by the project’s Be Onsite social initiative.

This program, established by Lendlease, supports young people who face barriers, providing training and on-the-job experience on a massive infrastructure project.

The project saw enough reinforcing steel installed (5,600 tonnes) to line up more than 3,700 cars bumper-to-bumper, and the tower’s façade used more than 4,000 glass, terracotta, and porcelain panels, each weighing between 250 and 1000 kilograms.

These needed to be carefully craned into place, with four fully electric tower cranes utilised at peak construction.

Further sustainability features include 1,600 solar panels and green space comprising 24 per cent of the hospital’s total area through 71 courtyards and terraces, plus three green roofs.

About three-quarters of the plants are native, and every patient level of the new clinical services tower has access to a winter garden, providing access to fresh air.

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