Health Minister Leo Glavine says the upgrades at the 38-year-old hospital will cost $6 million.
He says about $4.5 million will come from the province with the rest coming from fundraising.
Glavine says a construction team from PCL Constructors Canada will begin work Thursday.
The project includes improving patient rooms and utility rooms, building new team stations and uprgrading the plumbing and electrical system on the building's fifth floor.
The work is supposed to be completed by early 2017.