The Old Kyneton Hospital site is entering a long‑awaited new chapter, with construction now well and truly underway on Embracia Kyneton — a 126‑bed aged care home. Infinity Constructions began work in December and has already completed the cut‑and‑fill stage, with locals observing rapid progress across the historic grounds at the end of Simpson St.
“We’re so excited to see Embracia Kyneton coming to life. Our aim is to create a warm, safe and truly comfortable home for older people – larger bedrooms, beautiful shared spaces, a café, activity rooms and physiotherapy services”
Embracia Victoria Managing Director Sarah MacKenzie said.

A distinctive feature of the development is its intergenerational design. The aged‑care home will sit alongside the Embracia Childcare and Kindergarten, creating opportunities for children and older residents to connect through shared activities, stories and play. While construction progresses on the western side of the site, Embracia is also advancing its vision to restore and revitalise the Old Kyneton Hospital building itself, transforming it into a vibrant mixed‑use destination for the community.
The proposed adaptive re-use development of the Old Kyneton Hospital will see commercial offices introduced on the ground floor, with entertainment and function spaces positioned on the first floor to take advantage of sweeping views across the Campaspe River and the rolling Kyneton hills. As a Victorian Heritage-listed site, the restoration is being carefully guided in collaboration with Heritage Victoria to ensure the building’s architectural and cultural significance is preserved. Embracia reports that Abode Restorations has undertaken extensive investigative works ahead of conservation, uncovering both the challenges and enduring strength of the 19th-century structure. According to Abode, the building remains fundamentally sound, constructed with a level of longevity rarely seen in modern developments. Embracia’s vision includes reinstating original features lost through decades of renovation, celebrating the hospital’s heritage while adapting it for contemporary use. With aged-care construction progressing, restoration underway, and strong momentum building across the precinct, the Old Kyneton Hospital is set to re-emerge as a vibrant and valuable community asset.
