Kier Property has been selected as the preferred bidder by the Health Campus partnership to deliver the £240m Watford Health Campus project in the UK.
The Health Campus partnership is made up of Watford Borough Council, West Hertfordshire Hospitals NHS Trust and Watford Football Club.
The development is planned to regenerate derelict land in west Watford to create a 375,000ft² mixed-use development featuring new hospital facilities for Watford and south-west Hertfordshire, 650 homes and a large multi-storey car park. Watford Health Campus is expected to generate 1,600 local jobs.
The project will offer access to open public space and reduce traffic congestion.
About 35% of total homes to be constructed will be affordable housing units and plans also include a 37,500ft² office that will be pre-let to West Hertfordshire Health Trust.
West Hertfordshire Hospitals NHS Trust chief executive Jan Filochowski said that the scheme allows parts of the hospital to decant while other parts are built.
"It will transform the hospital facilities and site, creating green open spaces, tranquil water frontage and welcoming public spaces," Filochowski said.
"Emergency and normal access to the site will be dramatically improved. At the end of the works our patients, staff and the local community are set to have fantastic new and improved facilities."
Kier beat off competition from the UK-based construction firm John Laing to secure the project.
As per the plans, the development would be owned by a 50:50 long-term joint venture with the public sector.
Kier will work with the Health Campus partnership to complete the financial and legal aspects of the agreement by December 2012.