A new mental health unit is to be built in Hawke's Bay.
The Government will contribute $5 million towards the $22 million facility, with the bulk of the funding coming from the district health board.
Chief executive Kevin Snee said the current building, within Hawke's Bay hospital, is about 40 years old and dilapidated.
He said the new unit will be built on another site within the hospital, and will provide patients with a pleasant environment.
Health Minister Tony Ryall said the facility will also provide better links to community services.
The Mental Health Foundation says this is the way the health sector needs to be going.