THE St John of God Rehabilitation Hospital in Frankston is set to be converted into an aged care facility.
Earlier this month, St John of God Health Care confirmed that it had agreed to sell the hospital site to Vasey RSL Care. The announcement read that Vasey RSL has “future plans to redevelop the site to provide aged care services in response to growing community demand across the Frankston and Mornington Peninsula region.”
Hospital operations will finish up on 23 October, with handover to Vasey RSL Care scheduled to take place on 16 November.
St John of God Health Care Group CEO Bryan Pyne the decision required “careful consideration”.
“While it is a difficult decision to cease rehabilitation services at St John of God Frankston Rehabilitation Hospital, we are pleased the site will continue serving the community and responding to an area of growing need,” Pyne said.
“Rehabilitation care has changed significantly in recent years, with services increasingly being delivered within acute hospitals and through home-based models of care. As a standalone rehabilitation hospital that relies on referrals from other health care providers, these changing patterns of care have created increasing challenges for the long-term sustainability of the service.
“For more than two decades, Frankston Rehabilitation Hospital has been privileged to serve the Frankston and Mornington Peninsula communities. The hospital leaves a lasting legacy of care, compassion and dignity, shaped by generations of caregivers who have faithfully cared for those in need.”
The sale announcement stated that St John of God Health Care has “commenced discussions with private health care providers across the region to support continuity of rehabilitation services and minimise disruption for patients and their families as services transition.”
Vasey RSL Care currently operates an aged care facility in Frankston South. Earlier this year, the state government approved a $320 million redevelopment of the Frankston South site. That proposal includes construction of a residential aged care facility with 80 beds and a retirement village with 414 units at 85 Overport Road. (“Aged care for veterans set for redevelopment” The Times, 14/4/2026)
Vasey RSL Care CEO Janna Voloshin said the St John of God Rehabilitation Hospital acquisition would complement the Frankston South plans.
“Over the last few months, we have been in talks with St John of God, and today we are delighted to announce that we have just signed a contract to purchase their Rehabilitation Hospital on Cranbourne Road, Frankston,” Voloshin said last week. “Over the coming year, we will refurbish it to become an aged care home. The new site is around 6km from our Frankston South community and near to the Frankston RSL sub-branch. This will be very advantageous to our whole community, and the timing will coincide with the closing of a wing in our Frankston South aged care home for the new Frankston South Integrated Living Development, bringing much-needed new homes for older Australians to the area. This will allow for relocation of some residents and staff to ensure continuity of care.
“We are very pleased to be increasing our services in the Frankston region with this purchase: the Mornington Peninsula is among the top-ranked regions for the proportion of veterans and their families, as well as being a popular area for retirees seeking a sea-change. Both these projects will respond to those needs. It is an exciting acquisition for our community, and we will continue to keep you updated as things progress.”
First published in the Frankston Times – 20 October 2026
