Major works are due to begin next week on the $19.5 million Adolescent and Young Adult Hospice, marking a significant milestone for the unique facility.

Health Minister Brad Hazzard and Member for Manly James Griffin MP visited the site to inspect progress ahead of the first major concrete pour.

"This incredible project is Australia's first dedicated hospice caring for young people with life-limiting illness and will provide support to families from all over NSW," Mr Hazzard said.

"The facility will give young people and their families a tranquil, supportive environment at the most difficult of times by providing respite care, counselling, symptom management and end-of-life care."

Member for Manly James Griffin said the Adolescent and Young Adult Hospice will work closely with dedicated children's hospice, Bear Cottage, to assist families to continue to care for young people as they become adults.

"Each year, about a quarter of admissions to Bear Cottage are over the age of 16 and there has been no appropriate place for them to move to," Mr Griffin said.

"No matter where someone is from in NSW, this beautiful state-of-the-art facility in Manly will be a welcoming place for young adults who are diagnosed with life-limiting conditions."

More than $6.5 million has been raised for this project through generous community donations, which has been boosted by an $8 million investment from the NSW Government and $5 million from the Commonwealth Government.

Health Infrastructure is working closely with the Northern Sydney Local Health District and expert clinicians to deliver the hospice, which will be located at the former Manly Hospital site on the North Head headland.

Construction is due for completion late next year.

For further information and to support the Adolescent and Young Adult Hospice, visit Manly Adolescent and Young Adult Hospice.