Companies have been invited to offer a tender for Logan Hospital's $460 million expansion.
The shortlisted companies were invited to offer tenders after the expressions of interest for the hospital expansion and maternity unit upgrade finished last month.
The two projects will support more than 1000 jobs, the government said, and will mean 206 more beds and treatment spaces.
Logan MP Linus Power said the hospital's capacity would be increased by almost half, with one of the buildings rising by four stories, and an open-air ground level built in.
"We will also upgrade and expand existing clinical and support areas including the emergency department, mental health, intensive care, endoscopy and coronary care units," Mr Power said.
"As well as the boost to healthcare services, the scale of the project meant there would be significant employment opportunities for local tradies and sub-contractors, and into the future, more healthcare workers.
"The Queensland government is focused on getting people back to work as part of the economic recovery from COVID-19, and this major project will support that through local jobs."
Detailed design began last month and a series of infrastructure upgrades with be will start this year, with work to start on the main construction in 2021.
"The Logan community is growing rapidly, and the Queensland government is supporting this growth through a major investment in health infrastructure," Waterford MP Shannon Fentiman said.
"This is one of Queensland's largest ever hospital expansions and will ensure that locals receive the best care, close to home."
Treasurer Cameron Dick said the expansion was the signature piece of a wider infrastructure improvements program being delivered at Logan Hospital over five years, including an upgraded maternity service and a new multi-level carpark.
"Birthing pools and overnight facilities for partners will be part of a major $18.87 million upgrade to Logan Hospital's maternity service," Mr Dick said.
The work on the maternity ward will start in September.
Detailed design on the major expansion project commenced last month and a series of infrastructure upgrades with be undertaken over the rest of the year, with work to start on the main construction in 2021.
The upgrades come after pressure on the government over ambulance ramping and over-crowding issues last year.
Heath data had revealed a 24 per cent rise in ramping - where paramedics continue to look after patients instead of handing them over to overflowing emergency departments - at Queensland hospitals, the Liberal National Party said.
A Flagstone man was forced to wait two-and-a-half hours for an ambulance in February 2018 in an outcome Mr Power said was unacceptable.
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