VIC Govt splashes $1.7M per bed on new aged care home
The Victorian Government has completed the $41 million Cohuna public aged care facility, 275km north of Melbourne, with residents now moving in.
With eight hospital beds and 16 aged care beds – 24 beds in total – the facility has cost taxpayers $1.7 million per bed to build – well above the average cost of around $500,000 per bed.
The facility is co-located with the public aged care facility, Cohuna District Nursing Home, which is now being refurbished and will be repurposed into administrative areas and staff accommodation for Cohuna District Hospital, the aged care operator. These works are on track for completion in the coming months.
The Cohuna public aged care facility is designed on the small ‘household’ model of care, with rooms having access to shared kitchen, dining, lounge and sitting areas.
Victoria's Minister for Ageing Ingrid Stitt said: “Our public aged care homes are designed to maximise residents’ independence, so they can age with dignity, in their own communities.”
Victoria now has 159 public aged care facilities – more than any other operator in the country. The facilities are operated by local public health services.
Victoria is often cited as having fewer stranded hospital patients waiting for aged care or NDIS services than the other states – in October 2025, the number was 246, fewer per capita than in other states. The difference has been attributed to Victoria's well-established community nursing program.
