24 May 2026

Call for government to 'actually get serious' about old hospital precinct

| By Claire Sams
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A map showing the Bega Chamber's plan for the site

The Bega Chamber of Commerce is seeking support for the large-scale proposal. Image: Bega Chamber of Commerce Facebook.

A South Coast business chamber is calling for government funding to make its plan for a former hospital site come to life.

The former Bega District Hospital site, also known as the McKee Drive Precinct, is currently vacant.

Bega Chamber of Commerce and Industry has released a masterplan for the site, calling for it to be redeveloped with an allied health facility, accessible housing and other community facilities.

The masterplan also proposes a 336-seat auditorium, an indoor sports space (with changerooms and showers), room for a community supermarket, a cafe, a 60-place childcare centre and laundry facilities.

President John Watkin said the proposal for the site had been several years in development.

But he said the chamber faced a funding hurdle.

“We just need the politicians to actually get serious about finding some funding so that we can proceed with it,” he told Region.

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While the 2.5 hectare site is owned by the NSW Government, Mr Watkin said the chamber was seeking a $5 million grant.

“[That will] allow us to demolish the existing buildings, turn it back to a greenfield site and do all the planning that’s necessary to get the DA ready so that we can then move to rebuild.”

He urged the NSW Government not to sell the site and instead sell it to the chamber or lease it.

“We don’t want them to do that, because we don’t know what’s going to happen,” he said.

“Then that developer could come in and do all sorts of things on that land which wouldn’t be in the community’s interest.”

Mr Watkin said the chamber prepared a five-year business case in late 2023, with groups such as the PCYC and Sapphire Community Pantry flagging their interest in being involved with the proposed facility.

“One of the key messages that came through [in discussions] was all of them could expand their operations and could do more in the community if they had more space,” he said.

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He also said that, should the chamber receive funding, it would take up to 18 months to finalise its plans and carry out the necessary studies.

“It’ll get demolished pretty quickly,” he said of the existing buildings.

“After that would be the rebuild. It is probably close to a five-year process once we get some more funding.”

Mr Watkin said the town’s response to the proposal, seen through a community petition and a recent rally, was positive.

“There’s always going to be cynical people that think we’re only doing it for the money, or there’s something in it for us, or there’s actually commercial interest behind it, but it’s absolutely not the case.

“There’s nothing for the Bega Chamber of Commerce to gain from this, apart from creating a really great community asset.

“It’s not about the money, it’s not about some money-making scheme. It’s actually about creating a community asset for the community.”

You can find further details on the project, as well as the masterplan document, through the chamber’s website.

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