New $66.6m Acute Mental Health Facility Opens at Palmerston North Hospital

A major milestone in New Zealand’s mental health services has been reached with the official opening of Ngā Wai Ngāro, a purpose-built acute mental health facility at Palmerston North Hospital. Minister for Mental Health Matt Doocey said the new unit represents a “fundamental shift” in how the health system supports people experiencing severe mental distress.

A Modern, Therapeutic Environment

The $66.6 million facility delivers 28 modern patient bedrooms, alongside therapy rooms, a gym, dedicated family areas, and access to natural light and outdoor spaces. These features are intentionally designed to create a therapeutic and supportive environment that promotes faster recovery and restores dignity to mental health care.

“This new unit marks a fundamental shift in how we support people in mental distress,” Doocey said. “It ensures that when someone is in need of support, they are in a safe, supportive environment designed to help them get well.”

The facility also offers specially designed spaces for whānau engagement, reflecting the importance of family support in recovery. Natural lighting and open layouts aim to reduce the sense of confinement, while outdoor courtyards and recreational facilities encourage physical activity as part of holistic care.

Replacing Ward 21 With a Step Change in Care

Ngā Wai Ngāro replaces the outdated Ward 21, which for years faced criticism from patients, families, and health advocates for being unfit for purpose. The new facility has been described as a “major step up” that incorporates lessons learned from those with lived experience, mental health professionals, and community voices.

Acknowledging that the opening was long awaited, Doocey said, “Families should be able to trust that when a loved one reaches out for support, they are in a safe environment and receiving the care they need. This new facility ensures that.”

A Key Part of the Government’s Mental Health Plan

The opening forms part of the Government’s wider mental health strategy, which focuses on:

• Faster access to support – ensuring people can receive timely help when in crisis.

• More frontline workers – building a stronger workforce to meet rising demand.

• Better crisis response – providing safer, more effective facilities and services.

“This is a good example of what can be achieved when we listen to those with lived experience, staff on the frontline, and the community,” Doocey said.

Transition Plan and Next Steps

Patients will begin transitioning into Ngā Wai Ngāro later this year under a carefully managed plan to ensure continuity of care. Once the transfer is complete, the old Ward 21 will formally close.

The Government has committed to similar upgrades across the country to modernise mental health infrastructure, recognising that aging facilities contribute to poor outcomes for patients.

A Commitment to Mental Wellbeing

Doocey reaffirmed the Government’s promise to strengthen the mental health system. “Whether it’s you, your child, a friend, or a family member reaching out for support, this Government is committed to ensuring support is there,” he said.

The opening of Ngā Wai Ngāro signals not just a new building, but a shift toward compassionate, modern mental health care in New Zealand—one that prioritises safety, recovery, and dignity.