Kiama mayor Brian Petschler is confident his council can afford to turn the Kiama Hospital site into an aged-care centre of excellence as the estimated cost of the project passes the $70 million mark.
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About 40 residents braved a cold night to attend a public meeting at the Kiama Pavilion on Thursday where the council outlined its latest concept plans.
A development application for the project, to be determined by the Southern Joint Regional Planning Panel, will be lodged by the end of August.
When complete the 3.3-hectare hospital site will contain a new 134-bed Blue Haven nursing home, 55 independent living units and 16 assisted living units.
The council hopes to have the nursing home running by October 2018.
Latest additions to the proposal outlined on Thursday night included office space for Kiama Council's Blue Haven Care staff, a multi-function hall for use by the wider community, greater prominence for the heritage-listed Barroul House and the conversion of land adjoining Bonaira Reserve into car parking.
A master plan valued at $68.5 million was endorsed by Kiama councillors in May, but Cr Petschler said latest estimates put the project at around the $74 million mark.
"We are hoping to bring that down to around $70 million," the Kiama Mayor said.
"The long-term financial planning indicates we will - in some years down the track - be able to fully recover the cost of the development."
The project has already attracted an $8 million commitment from the NSW government through the $100 million Illawarra Infrastructure Fund.
The Illawarra-Shoalhaven Local Health District will retain a presence on the site through a community health facility, but the 20 inpatient beds currently on site will be relocated first to Port Kembla then to a redeveloped Shellharbour Hospital.
