The Hobart Clinic has officially reopened after a $2 million state government grant saved the private mental health facility from shutting its doors.
The 27-bed clinic had faced closure in October after the previous administration declared its operating model unviable.
A newly appointed board has since stepped in and the facility began admitting a small number of patients during a soft opening last month.
New board chair Tim Booker said the immediate focus had been ensuring safe clinical governance before welcoming patients back.
“The new board has the challenge in front of it to stabilise the current business, then move towards evolving the model to suit the current context,” he said.

“Just because there are unique challenges in running a small private hospital, it does not mean there are not solutions that would allow us to fix the future model, some of which are well progressed.”
Booker said delivering safe, consistent patient care was “non-negotiable”, alongside building a sustainable model for staff and infrastructure.
Board member Dr Rob Walters said the clinic continued to fill a crucial gap in Tasmania’s mental health system.
“At the clinic they will receive the care they need and get back out into the community, rather than ending up in the acute system,” he said.
“GPs also now have somewhere to refer their patients.”
Dr Walters said nursing staff had been the backbone of the service throughout the uncertainty.
“Many of the staff have been very loyal to The Hobart Clinic. That is important to recognise,” he said.
The Australian Nursing and Midwifery Federation joined reopening celebrations after campaigning alongside HACSU and the AMA to save the facility.
ANMF Tasmanian branch secretary Emily Shepherd described the clinic as a lifeline for vulnerable Tasmanians.

“It has been a lifeline for those who need longer inpatient stays and support to deal with often ongoing mental health challenges,” she said.
“It is incredibly pleasing to know that people who have accessed mental health support at the Hobart Clinic will now be able to continue to do so.”
She said the union would continue supporting staff through the transition.
“The ANMF is eager to hear how the newly formed board will look to future proof The Hobart Clinic,” she said.
The $2 million grant will fund six months of operations.