Construction has kicked off on a new five-storey hospital in Mandurah, south of Perth. This hospital project will cost over $1.1 billion. This project alongside others such as the West Coast District Hospital are set to improve healthcare services across Australia.
Moreover, the hospital is being constructed on vacant land next to the existing Peel Health Campus. The project is due to open its doors in early 2029.
Contractors
The main works contract awarded was to Built Australia and Sacyr Construction. Additionally, excavators were busy preparing earthworks on site today
Also, The Cook Labor government has already spent $152 million on new water and electricity infrastructure and has allocated a further $950 million for construction.
Bed Capacity
The new hospital will have about 300 beds and add 111 beds to the state’s hospital system.
Also, it will have a larger emergency department than the Peel Health Campus, a mental health emergency centre, maternity and out-patients services, palliative care services, and new cancer treatment services.
Additionally, Premier Roger Cook said the Peel region was one of the fastest growing in the state and infrastructure needed to keep pace.
“It means people in Mandurah, the surrounding suburbs and across the Peel region will be able access more care closer to home, reducing the need to travel to Perth for care and treatment,” Mr Cook said.
Project Funding
The hospital is being funded through the government’s $2 billion Building Hospitals Fund. Moreover, this funding has previously been used to pay for the $807 million Royal Perth Hospital upgrade. Also, it has been used to buy the 196-bed Mt Lawley Hospital for $224 million.
Additionally, Health Infrastructure Minister John Carey said this did not mean that fund had now been run down because it would be progressively topped up.

Peel Health Campus Services to be Provided at the New Mandurah Hospital
All services currently provided at the Peel Health Campus will be replaced or expanded at the new hospital.
Moreover, Health Minister Meredith Hammat said the new mental health services would service people in the Mandurah region.
“Expanding access to mental health care remains a priority for our government. Also, making sure that our infrastructure meets the needs of the community is a really important way we can provide better models of care for people who are experiencing mental health crises,” she said.
Moreover, another $1 million is being allocated for master planning for upgrades to the Rockingham General Hospital.
Also, the government foresees demand for health services in Rockingham and surrounding areas will increase sharply in the next two decades. This demand will be particularly for people aged 45 and over.
Furthermore, it is also forecasting growth due to expansions to the HMAS Stirling naval base through the AUKUS nuclear submarine pact with the United States and the United Kingdom.
New Mandurah Hospital: Project Factsheet
Project Name: New Mandurah Hospital Project (Peel Health Campus Redevelopment)
Location: Mandurah, Peel Region, Western Australia
Project Owner / Lead Agency: Government of Western Australia (WA Health / South Metropolitan Health Service)
Primary Objective: Deliver a purpose-built regional healthcare facility to replace and significantly expand the capacity of the existing Peel Health Campus. Also, it wi accommodate rapid population growth and reducing the need for regional patients to travel to Perth for specialist care.
Facility and Clinical Specifications
- Building Structure: 5-storey main hospital building
- Total Bed Capacity: Approximately 300 beds (net addition of 111 beds to the Western Australian public health system)
Key Healthcare Units and Services:
- Emergency Services: Expanded Emergency Department (ED) and a dedicated Mental Health Emergency Centre.
- Specialist Care: New cancer treatment/chemotherapy services, specialist palliative care, and renal care.
- Maternity and Women’s Health: Birthing suites and women’s ward facilities.
- Inpatient and Surgical: Dedicated mental health inpatient unit, High Dependency Unit (HDU), new operating theatre complex, and expanded outpatient services.
Financial Breakdown and Funding Source
Total Estimated Project Cost: Over $1.1 Billion
Civil Infrastructure and Site Prep: $152 Million (water and electrical infrastructure upgrades)
Main Construction Allocation: $950.6 Million
Funding Program: State Government’s $2 Billion Building Hospitals Fund (part of Western Australia’s wider $5.5 billion health infrastructure pipeline).
Project Timeline and Delivery Milestones
Site Prep and Power Infrastructure: Completed / Ongoing ($152M enabling works)
Main Works Contract Award: Completed (Awarded to Built and Sacyr)
Groundbreaking / Earthworks: Commenced (August 2026)
Anticipated Completion and Opening: Early 2029
Project Team
Main Works Construction Alliance: Built Pty Limited and Sacyr Construction Australia Pty Limited (WA Health Alliance)
Design and Architecture Partners: Architectus (Architectural Lead) and Aurecon (Engineering)
Operating Health Service: South Metropolitan Health Service (SMHS)

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