The HSE intends to sell parts of St Finan's through public sale.
In a letter to Kerry County Council, the HSE says it's their intention to retain part of the main campus in Killarney to facilitate development of a community nursing unit.
The HSE's plan to develop a community nursing unit through a national public-private partnership initiative (PPP) was recently granted planning permission by Kerry County Council.
The remaining part of the site was offered to state agencies; the council hopes to acquire 5.7 acres to the north of the ring road at Ballydribeen.
The HSE is currently waiting for the council to progress this transaction.
There has been no further interest in the former St Finan's building and surrounding lands, so the HSE intends to put the remainder of the property up for public sale in the near future.
In the interim, the local HSE South Estates Maintenance Department, which is based in Tralee, is managing the site's maintenance.
This information was released at the recent Killarney MD meeting.
