Plans for a $90 million 1,000-desk Govhub in Bendigo have been unveiled with with work now under way to transform the existing site into the Victorian government's sole customer service centre.

The four-storey building will be located on Lyttleton Terrace and will centralise the delivery of a range of government services and accommodate up to 1,000 local and state government workers.

“Bringing these agencies together under one roof will provide a one-stop-shop for people needing state or local government services or advice,” minister for major projects Jacinta Allen said.

The Lyons architects-designed development will be located at the site of the existing government offices in the civic centre of Bendigo, which includes the Town Hall and Bendigo Library.

Plans include ground floor community spaces, a customer service area, a concierge, a cafe, and space for exhibitions.

The Bendigo Govhub, to be delivered by Development Victoria, will be the third of its type to be delivered following Ballarat Govhub designed by John Wardle Architects and Latrobe Valley Govhub designed by WMK Architecture.

The building will incorporate a large timber frame, anticipated to provide both construction and health benefits, with materials and products being sourced from local distributors.

The Govhub will be one of a number of major projects being built within the precinct at the same time, with the new law courts and Bendigo TAFE currently under way.

The Victorian government will contribute $16 million towards the $90 million project with the remainder to be sourced from private investment.

Construction will begin in 2020, following demolition of the existing Lyttleton Terrace offices with completion expected in 2022.

The city is still arranging where its staff will be based during the construction phase, and is currently considering up to 16 sites for temporary offices.