The traditional redevelopment will comprise the reconfiguration and refurbishment of the existing out-patients department, demolition and reconstruction of the in-patients area alongside alterations to improve the facilities provided by the original two-storey cottage hospital building.
The works will be split into two phases to allow the hospital to remain in operation throughout.
Environmental innovations are an important component of the redevelopment. Solar water heating will be introduced and an Ecologist will assess the impact of the project as it progresses.
Work is due to start on site this month.
This is the second project awarded to Mansell by Community 1st Cornwall. Praze-an-Beeble surgery, a primary health care facility near Camborne in West Cornwall, was successfully handed over a few months ago and opened to the public this month.