Jersey Water has sold its Westmount headquarters to make way for the new hospital at Overdale.
Following several months of negotiations, a deal has been done between Jersey Water and the Our Hospital Project Team.
Chief Executive Helier Smith says he's pleased to have completed the sale to 'facilitate the new hospital'.
"Through looking at our estate as a whole, we have been able to develop a compelling proposal that not only meets the long-term needs of Jersey Water but also supports the new hospital development and creates significant community and environmental gains for the benefit of all Islanders."
The utility will move out of the Westmount base next year.
Jersey Water's corporate services teams will move to offices in New Street.
The company has also submitted plans to develop its sites at Millbrook and Grands Vaux.
It plans to restore the historic listed buildings at Millbrook and base its operation water supply teams there.
It also intends to create a public footpath through its land north of Grand Vaux reservoir.
"The footpath would support the Government of Jersey’s countryside access strategy and enhancement of the Island’s active travel network, enabling safe travel by walking, cycling and other active modes between St Helier, St Saviour and Trinity.
The scheme is specifically referenced and supported in the draft Bridging Island Plan." - Jersey Water.
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