Stage 2 of the $1.1 billion Frankston Hospital redevelopment is now in active construction, extending the project beyond the new 12-storey clinical tower into major refurbishment and operational works across the existing hospital.
The Victorian Health Building Authority confirmed on 24 September that crews are carrying out internal demolition and refurbishment across the original hospital building after services moved into the new tower earlier this year.
The latest phase shifts the redevelopment from headline clinical expansion into the back-of-house infrastructure required to make the enlarged hospital function as an integrated campus.
From new tower to operational integration
Stage 1 delivered the new 12-storey tower, 130 additional beds, expanded mental-health and oncology facilities, a new main entrance and 15 operating theatres.
Stage 2 focuses on staff facilities, theatre support, logistics areas, office space, a larger commercial kitchen, expanded loading docks and dedicated staff open space.
The connection between the original building and the new tower will also be refurbished to create a new internal link known as Hospital Way.
Outside the hospital, demolition for enlarged loading areas and a staff courtyard has already been completed.
Hospital projects create long-tail construction demand
Large hospital redevelopments often generate substantial work after the main tower reaches practical completion.
Existing buildings must be reconfigured, clinical services moved, logistics routes rebuilt and old infrastructure integrated with new systems while the hospital continues operating.
That creates a second wave of contractor demand across demolition, fit-out, mechanical and electrical services, commercial kitchens, logistics infrastructure, communications, joinery and building-services integration.
The complexity is heightened because the work takes place within a live healthcare environment where infection control, access and continuity of care remain critical.
Further works continue beyond Stage 2
The redevelopment program also includes a new childcare centre and community centre on the hospital site, with those works scheduled to begin in 2027.
Stage 2 is targeted for completion in 2027, keeping the Frankston precinct active as a major health-infrastructure worksite beyond the opening of the new tower.
For contractors and suppliers, the project illustrates why health infrastructure can provide a longer delivery pipeline than the headline construction milestone suggests. The clinical tower may be open, but the broader redevelopment still has significant work ahead.
Sources: Victorian Health Building Authority, 24 September 2026; Frankston Hospital redevelopment — Stage 2 project page.
Featured image: Christian / Unsplash.
