Health Minister Annette King says she is pleased Nelson Marlborough Health Services has accepted a contract from Fletcher Construction for the redevelopment of Nelson Hospital.

"The redevelopment has an overall budget of $35.5 million, and the guaranteed maximum price for construction is within that budget."

Mrs King said the focus of the development has been on improving clinical areas and patient and visitor access flows.

"Redevelopment over the next two years will start with the construction of buildings for a new mortuary, coronary care/intensive care unit, emergency department, radiology and day stay unit.

"This will be followed by a new building for medical inpatients, obstetrics, paediatric inpatients, main entrance, cafeteria and chapel. New or refurbished spaces for outpatients, elderly care and kitchen and store facilities are also included in the project."

Mrs King said the announcement represented "a significant milestone" in the redevelopment of health services for the Nelson region. The project should be completed by March 2003.

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