Portsmouth NHS Clinical Commissioning Group declared the hospital site as surplus in 2014. NHS Property Services, the owners of the site, engaged with Portsmouth County Council to develop a Masterplan which involved a two-phase approach, with the Council inviting Homes England to purchase part of the site; this purchase was completed in 2015. Phase 1 was for an affordable housing scheme and Phase 2 for the conversion of the listed hospital building and new build residential units. The intention was for Phase 1 to be developed before the remainder of the site (Phase 2) became vacant. The conversion of listed buildings such as St James’ Hospital is a sustainable way of maintaining heritage assets and ensuring their preservation in the long term. The current planning applications for both Homes England’s Phase 1 affordable housing scheme and Phase 2 for the conversion of the listed buildings and new build residential units reflect the original Masterplan.