Specialist $68m South Perth Hospital Green Lit

A four-storey specialist hospital in the south Perth suburb of Melville has been given the go-ahead.

The project, dubbed Orthonova, is a major expansion for the existing 510-bed St John of God Murdoch Hospital site on Murdoch Drive.

The not-for-profit private hospital is adding the orthopaedic section to its Murdoch Health and Knowledge Precinct.

The proposal was submitted by Hesperia Property with St John of God Health Care, which said at the time of filing last year that Orthonova was the first project of its kind in Western Australia, involving a private hospital operator and a group of surgeons collaborating to develop and operate the hospital.

It aims to be a “world-class centre of excellence” for orthopaedics with a focus on robotic joint replacement surgery and sports surgery.

The hospital will comprise four operating rooms, two 40-bed inpatient wards and 28 recovery beds as well as commercial tenancies and a suspended connection to the wider St John of God campus at Murdoch. 

▲ Renders of the orthapedic facility now approved for the South Perth precinct.

In its approval report, the development assessment panel said that the development fit into the broader scheme of activities envisioned for the medical precinct in the Murdoch Activity Centre Structure Plan. 

The Murdoch Activity Centre (MAC) is one of five specialised activity centres in Perth with the potential to become a “knowledge-intensive and competitive urban centre”. 

According to a report from CBRE, healthcare generally has remained strong, and much of its growth has been driven by investors moving outside typical core assets, underpinned by a post-Covid focus on health and a growing and ageing population.

Earlier this year, ASX-listed healthcare property owner Healthco Care & Wellness REIT, private hospitals have gone against the grain in the wider commercial property market, with values growing 15 per cent between March and December last year.

State and federal governments have also invested billions into the sector, making it increasingly attractive as a ‘recession-proof’ asset, according to CBRE.