When the new and much bigger Assisi Hospice opens in 2016, it will have Singapore's first dedicated paediatric and dementia wards.
Aside from more than doubling the number of beds - from 37 to 85 - the new building will also have a section dedicated to education and training in palliative and bereavement care for staff, volunteers and carers.
The place will be built with a homely atmosphere, with "kopitiam"-type dining area for patients and their family to mingle, and a balcony in every room.
Health Minister Gan Kim Yong, who participated at the groundbreaking ceremony on Monday, together with Archbishop William Goh, said: "The challenge is to build a hospice that can feel like a home, so that patients who are unable to be supported at home can have a peaceful and restful place to spend their final days meaningfully."
He said the number of people who will require palliative care will rise from the 5,000-6,000 today, to more than 10,000 by 2020.