Stage 1 of $813m Northern Hospital redevelopment now underway

Monica Gameng   |   May 10, 2025
Northern Hospital (cr: Northern Health on Facebook)

The first sod has been turned to signal the beginning of construction on the Victorian Government’s massive $813 million Northern Hospital redevelopment project. 

Stage 1 of the redevelopment will deliver a new Ambulatory Care Centre. The new four-storey building will feature a dedicated space for outpatient and ambulatory services, clinical care and hospital administration. 

The new facility is set to create a central hub to support the growing healthcare needs of Melbourne’s northern suburbs. 

The completion of Stage 1 – expected in mid-2026 – will pave the way for the next stage to commence. 

“Our massive upgrade of the Northern Hospital emergency department means local families will continue to get the best care and treatment – faster and closer to home,” Premier Jacinta Allan said. 

“This is a significant investment in the future of healthcare for Melbourne’s growing northern suburbs, delivering more care, closer to home,” Minister for Health Infrastructure Melissa Horne said. 

“The Northern Hospital redevelopment is part of our ongoing investment to make sure our health services have the best space, facilities and equipment to deliver world-class care for every Victorian, when and where they need it,” Minister for Health Mary-Anne Thomas said. 

The second stage of the redevelopment, on the other hand, will deliver a new emergency department and inpatient unit tower, including a dedicated paediatric zone, a specialised mental health and AOD hub, new inpatient units, an emergency observation unit and more car parks. 

The Northern Hospital redevelopment will expand and improve healthcare facilities to include almost 200 treatment spaces and support 30,000 more emergency patients annually, ultimately ensuring families in Melbourne’s growing northern suburbs can access the care they need, closer to home. 

In addition, the Northern Hospital is benefiting from recently completed upgrades to its endoscopy theatres and procedure rooms that were made possible by a $4.2 million investment from the Labor Government’s Metropolitan Health Infrastructure Fund. 

This multi-million project is anticipated to be completed in 2029, with both stages estimated to create approximately 2,200 jobs during its construction phase. 

This hospital redevelopment project is part of the State Government’s plan to ensure Victoria’s busiest hospital – including the Austin Hospital and Monash Medical Centre – have the best infrastructure for them to continue providing world-class patient care and treatment. 

These revamped hospitals will give growing communities better access to each hospital’s emergency department as well as in-patient care and dedicated wards for maternal and paediatric needs. 

“This expansion of the Northern Hospital is all about keeping up with the needs of our growing community,” Member for Thomastown Bronwyn Halfpenny said. 

“Stage one of this redevelopment will play a key role in supporting northern suburbs families – delivering better care and creating good local jobs,” Member for Mill Park Lily D’Ambrosio said. 

“More and more families are moving into the northern suburbs every day – so we are expanding the Northern to give them the strong public services they deserve,” Member for Yan Yean Lauren Kathage said. 

Source: Premier of Victoria – Media Centre; Northern Health 

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Monica Gameng
As Felix's Marketing Assistant since 2015, Monica is responsible for researching and sharing new and progressing projects within the construction and mining sectors in Australia. It's no surprise that Monica has her finger on the pulse of Australian major projects given she has produced more than 1,000 posts. She truly is an industry expert.
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