The States wants to keep momentum going at Leale's Yard, after buying the majority of the site in the summer.
Leale's Yard has been derelict for years and plans to revitalise it have come and gone.
But as Guernsey's housing crisis continues, developing potentially hundreds of apartments or small homes on the site remains a government priority.
After the last private sector plans fell through, the States bought a large section of Leale's Yard in August.
The head of P&R, deputy Lindsay de Sausmarez, says they want to get the project going and demolish the remaining buildings as soon as possible, and are looking for a firm to carry out the work.
“Leale’s Yard is a strategically important site, so maintaining momentum is essential.
"Development doesn’t take place overnight, especially for a site of this scale, but we’re progressing through the necessary stages as quickly as possible.
"We’re planning the necessary demolition – which will be the first visible signs of progress – at the earliest opportunity.
“Behind the scenes, we’re working hard on plans to improve the transport network in the area - an essential component for this project to succeed."
P&R, as major landowner, says plans will change from those previously drawn up.
But the site will still be a mix of homes and businesses, with the Co-op keeping its section for housing.
New woodland for Alderney's 80th Homecoming
Guernsey States 'in talks' with easyJet
Guernsey's airline Aurigny takes on six new First Officers
Call for more transparency over Guernsey Electricity's charges
Guernsey Police investigate 'unexplained death' in St Peter Port
Senior Guernsey politician to stay on committee during police investigation
Iconic Guernsey restaurant to close before Christmas
Protected status of Guernsey bunker changed by planners
