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Hospitals 24 September 2026

Second stage of Frankston Hospital redevelopment in full swing

Earlier this year, a new 12-storey hospital tower at Peninsula University Hospital opened to patients, paving the way for works to begin on the second stage of the Frankston Hospital redevelopment.

The $1.1 billion redevelopment has already delivered a new hospital tower with 12 levels of clinical services, a new main entrance, 130 more beds, new spaces for mental health and oncology services and 15 new operating theatres.

With services operating from the new hospital tower, work has started on refurbishing the existing hospital building for staff, patients and visitors.

Construction is progressing, with crews focusing on internal demolition and refurbishment of the spaces inside the existing hospital building.

Outside, demolition to make room for expanded loading docks and a dedicated staff courtyard is complete.

These works will ensure staff can deliver the best care, streamline hospital operations and support patient experience.

About the Frankston Hospital redevelopment – Stage 2

The second stage of the Frankston Hospital redevelopment will deliver:

  • new staff facilities, including back of house spaces, theatre support and logistics areas
  • new office spaces
  • a bigger commercial kitchen and loading docks
  • dedicated open space for staff wellbeing.

As part of these works the connection between the existing building and the new hospital tower will be refurbished to create Hospital Way – a modern, seamless link for patients and staff, featuring artwork that reflects place and community.

A community centre and a childcare centre will also be built on the hospital site as part of the redevelopment.

To learn more about the first stage of the Frankston Hospital redevelopment visit the dedicated project page.

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Last updated: 24 September 2026