The Otago Therapeutic Pool fundraising campaign received a $100,000 boost this week.
The grant was from the Alexander McMillan Trust, which earmarked it for the capital work needed on the historic facility.
In a statement, the trust said the pool's significance to the community meant the substantial contribution was warranted.
Launched four weeks ago, the campaign aims to raise $1.5 million, of which $1 million was for capital upgrades.
The grant brought the fundraising total to more than $225,000. Pool trust secretary-treasurer Neville Martin was pleased with the response from the public to the appeal.
''I encourage workplaces and clubs to think of and develop fundraising projects for the pool.''