The Government has announced a $200 million upgrade of south Auckland's Middlemore Hospital.
Design work on the project is expected to start almost immediately, with construction to begin within 12 months.
Prime Minister John Key says the upgrade will create 70 extra beds at Middlemore. Operating theatres will also be renovated.
Mr Key says the Counties-Manukau District Health Board believes the project could create up to one-thousand jobs.
The Government has approved $100 million of new funding for the project, with the rest to come from the DHB .