It is a tertiary referral centre providing specialist service in cardiothoracic surgery, cardiology, paediatric cardiology, tuberculosis & chest medicine and cardio-pulmonary infirmary.

In 2003 and 2004, palliative medicine and acute geriatrics service were set up respectively after Nam Long Hospital has been closed down in December 2003.

The hospital is founded in 1957 by the Hong Kong Tuberculosis, Chest and Heart Diseases Association and renamed for Alexander Grantham, a former Governor of Hong Kong.

However, it has been proposed that these acute services will be relocated to the Queen Mary Hospital (the Flagship teaching hospital of the university) in the coming future for better and more efficient use of resources.

The School of General Nursing has been re-opened in 2008 to educate and train up Enrolled Nurses and the hospice centre under the Li Ka Shing Foundation Hospice Service Programme was set up to provide holistic care to cancer patients and their families.