New Dunedin Hospital to be Built on Former Cadbury Factory Site, Futureproofed for Growth

Health Minister Simeon Brown confirmed that decisive action has been taken to control cost overruns and keep the project on track.

The long-anticipated new Dunedin Hospital will be constructed on the former Cadbury factory site, ensuring modern and futureproofed healthcare for Otago and Southland. Health Minister Simeon Brown confirmed that decisive action has been taken to control cost overruns and keep the project on track.

A Commitment to Quality Healthcare

“Today, I am giving the people of Dunedin certainty that we will build a state-of-the-art hospital that ensures timely, quality healthcare for generations to come,” Mr. Brown stated. “This modern facility will be constructed at the former Cadbury factory site, overcoming previous mismanagement and ensuring the best possible outcome for Dunedin residents.”

The New Zealand Government has already invested $290 million in the project, bringing the total funding to $1.88 billion. This initiative is part of a broader $16.68 billion investment in health infrastructure over three years, aimed at improving healthcare access and outcomes nationwide.

Key Features of the New Dunedin HospitalUpon opening, the hospital will include:

• 351 beds, expandable to 404 beds over time.

• 20 short-stay surgical beds, introducing a new model of care.

• 22 theatres, with capacity to increase to 24 in the future.

• 41 same-day beds, enhancing outpatient and specialist procedures.

• 58 emergency department (ED) spaces, including a short-stay unit and specialized psychiatric care.

• 20 imaging units for CT, MRI, and X-ray procedures, with six additional spaces allocated for future advancements.

Addressing Challenges and Ensuring a Smooth Transition

Last September, the independent review led by Robert Rust revealed that the project had been significantly mismanaged under the previous government, leading to budget blowouts and construction delays.

“The former government made grand promises but failed in execution,” Mr. Brown emphasized. “We have taken corrective action to ensure this project moves forward efficiently and delivers the modern hospital Dunedin deserves.”

The chosen site, however, presents construction challenges, including contamination, flood risks, and access issues. Despite these concerns, the government is confident that the former Cadbury factory site is the best location for the new hospital.

“Constructing the hospital here will be far less disruptive than trying to build at the existing hospital site,” Mr. Brown noted. “By carefully managing these challenges, we will deliver a world-class facility tailored to the needs of Dunedin and the surrounding regions.”

Futureproofing for Growth

In line with long-term healthcare needs, the hospital will be designed to accommodate growth and evolving medical technologies. The current plan includes no reduction in the number of floors, allowing for the seamless expansion of beds and services as needed.

“The new Dunedin Hospital will adapt and expand in the years to come, ensuring it meets changing demands and continues to provide top-tier healthcare,” Mr. Brown assured.

Further updates on construction timelines and contractor selections will be provided once the contracting process is finalized.