The Government has earmarked $80 million towards fixing "long-standing problems" with buildings and infrastructure at Middlemore Hospital and the Manukau SuperClinic.
The funding comes from the $750m set aside in Budget 2018 to "tackle some of the most urgent building problems facing hospitals around the country".
The Government has allocated well over $600m of that to date.
Prime Minister Jacinda Ardern said the funding announced today would go towards fixing issues, such as leaky hospital buildings, rot and mould in the walls, and earthquake-prone facilities.
She said these issues were all "symptoms of years of neglect and underinvestment" from the previous Government.
Middlemore had been making headlines this year for the issues it was facing around its infrastructure.
In March, it was reported the children's ward and the National Burn Centre were among four buildings at Middlemore that were found to be leaking and have dangerous mould and bacteria growing in them.
Before the Finance Minister unveiled the Government's first Budget earlier this year, Ardern indicated her desire to address the issues at Middlemore.
She said the Budget would be a "rebuilding budget" and alluded to the leaky buildings and issues with mould at the hospital.
"Improving access to high-quality health services provided in world-class facilities is a priority for the Coalition Government," Ardern said.
"The people and staff of Counties Manukau District Health Board deserve quality facilities that are in a good state of repair."
Health Minister David Clark said the announcement was a welcome step in what would be an ongoing process of renewing Middlemore and other DHB facilities.
He added that the funding means Counties Manukau DHB can plan with certainty and develop business cases for four important projects.
• Re-cladding the Kidz First Building, as part of an ongoing phased approach to re-cladding clinical buildings at CMDHB
• Relocating the radiology department from the ageing Galbraith building to the Harley Gray building
• Establishing a radiology hub at the Manukau SuperClinic site (currently patients have to be transferred to Middlemore for CT and MRI services)
• Critical infrastructure work at the Manukau SuperClinic including new plant room/substations, IT, medical gases and parking – all needed to support the expansion of clinical services in the short to medium term
"These projects will significantly improve the standard of key facilities," Clark said.
"They will also help Counties Manukau DHB better handle a growing population with some of the most challenging health needs in New Zealand."