The site of the old Koroit Hospital is set to further enhance its reputation as a community hub following news of an infrastructure investment from Moyne Shire Council.
An allocation of $75,000 from council will be used to transform a section of the old hospital into a space for maternal and child health services, immunisation programs and a supported playgroup.
The building to be renovated joins the Koroit and District Kindergarten and faces onto High Street.
It is next door to the Koroit home of the Port Fairy Medical Clinic.
Koroit and District Kindergarten president Amy Atwell said the investment was welcome news.
"We are thrilled to have these services all now on the one site," Mrs Atwell said.
"It will make it so much easier for families with young children to have everything under the one roof."
The renovation works are expected to be complete by the end of October.
Moyne Shire Council mayor Daniel Meade said the project was aimed at supporting Koroit families.
"The impact of COVID-19 has been challenging for many families and council is focused on supporting the needs of its communities," Cr Meade said.
"Investing in the improvement of these facilities and services is just one way council can help build a better future for our kids and their families."
A new kindergarten at the site was opened in 2014, thanks largely to a donation of land and funding from Koroit Health Services.