The day services wing, first sketched in 2011, has been paid for equally by sponsorship from the Tauranga Energy Consumer Trust (TECT) and bequests to the hospice, managed by the Waipuna Hospice Foundation.
"We have been able to carry out this project as a direct consequence of people making bequests," hospice chief executive Richard Thurlow told the Bay of Plenty Times Weekend.
"We couldn't have done this without them. There is a real legacy to these bequests."
Nearing completion, Mr Thurlow said the addition had already attracted attention from other hospices, including Mercy Hospice in Auckland.
"We hope it's trend-setting. We think it's the right thing to do," he said.
Waipuna Hospice had an advantage over inner-city hospices because of its rural Te Puna location - there was room to grow, he said.
Having a large space dedicated to day services would offer the community improved palliative care, allowing community nurses to work more efficiently.
It would also provide input to health care education as practice nurse and general practitioner palliative care education sessions would be held in the training room, Mr Thurlow said.
The new unit also means the hospice can double the number of clinics and procedures offered to visiting patients.
"It will mean an expansion in the number of short, medical, day procedures, and an increase in the number of activities - related to arts, crafts and musical entertainment - designed to lift the spirit," he said.
"It will be of huge benefit to the carers of hospice patients.
"Patients will be able to attend various activities, to be looked after by our fabulous voluntary team, while their carers can take advantage of some respite."
Waipuna Hospice receives more than 650 referrals each year and about 300 patients are admitted.
Each year the hospice has contact with about 1000 patients and their families, Mr Thurlow said.
"For our community, this is going to be an incredible facility in people's care.
"We're going to have more appointments to do the things that the patients request.
"In end-of-life care it's really hard to say no to.
"You only really get one shot at this sort of healthcare, so we try and make sure we keep that front of mind.
"We only get one go."