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$535m Monash Medical Centre Project Moves Into Main Construction Phase

Main construction works have officially started on the $535 million expansion of the Monash Medical Centre in Clayton, marking a major milestone in boosting healthcare capacity for Melbourne's south east. The Allan Labor Government says the project will help bring care closer to home and improve access to essential hospital services for growing communities.

 

May 11, 2026
11 May 2026

Main construction works have officially started on the $535 million expansion of the Monash Medical Centre in Clayton, marking a major milestone in boosting healthcare capacity for Melbourne's south east.

The Allan Labor Government says the project will help bring care closer to home and improve access to essential hospital services for growing communities.

The expansion will deliver a new seven-storey clinical tower built above an expanded emergency department, significantly increasing the hospital's capacity.

What the new tower will include

Once completed, the development will provide:

  • expanded maternity services, supporting around 2,400 births each year
  • additional operating theatres, enabling up to 7,500 extra surgeries annually
  • a new intensive care unit equipped with modern technology for critically ill patients
  • a new Central Sterile Services Department to improve surgical efficiency and turnaround times

As one of the busiest hospitals in the state, Monash Medical Centre is expected to significantly strengthen its ability to meet rising demand across the region.

Jobs and construction timeline

The project is expected to support more than 1,500 construction jobs during the build, as well as ongoing healthcare employment once operational.

Construction is scheduled for completion in 2029.

The expansion follows earlier investment at the site, including the delivery of a $76.3 million emergency department completed in 2021.

Government commentary

Health Infrastructure Minister Melissa Horne said the works would improve local access to care.

"Works are now underway on the $535 million expansion of Monash Medical Centre, delivering expanded maternity services, more surgeries and a new intensive care unit so families in the south east can access care closer to home," she said.

Health Minister Harriet Shing said the project responds to growing demand on the public health system.

"Every day our public health workers deliver life-changing, life-saving care to Victorian patients, and this facility will enable us to meet our increasing demand," she said.

Opposition comments were also included in the announcement, with differing views on health infrastructure funding and staffing.

Local MPs highlighted the benefits for their communities:

  • Steve Dimopoulos said the expansion would deliver "world-class care closer to home"
  • Nick Staikos said it would improve access to care "at every stage of life"
  • Meng Heang Tak described it as a "major milestone" supporting jobs and modern facilities
  • Eden Foster said it would deliver faster access to surgeries and services for local families

The government says it has delivered 11 new hospitals across Victoria, with this expansion part of broader efforts to upgrade major health precincts.

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