A private hospital partly paid for by a public fund-raising appeal could be knocked down to make way for housing.

For Sale signs have gone up at the Nuffield Hospital in New Church Road, Hove, advertising the site as a development opportunity.

Nuffield today confirmed it had received more than 20 offers for the site, which covers almost an acre.

Offers have come in from care homes, health and leisure operators and residential developers.

The £1 million hospital opened in 1976 with the support of a £420,000 fund-raising appeal, the equivalent of £3.4 million today.

The money was raised in various ways, including business donations, legacies and contributions from consultants and doctors.

The hospital was expanded in the Eighties following a second £250,000 appeal.

The Argus revealed earlier this year that Nuffield was planning to close the hospital and transfer the patients and services to its hospital in Woodingdean, Brighton.

The sale could be worth millions but Nuffield says there will be investment in expanding and improving its health services.

It also takes part in and contributes to events and charities in the city.

A hospital spokeswoman said: "Nuffield Hospital believes that moving all patient services to one site will allow for greater efficiency and an improved service."

Former Hove mayor Jim Buttimer said the hospital was built so local people who could afford it could obtain private treatment nearby.

He said the idea of having to travel further to Woodingdean might raise some concerns.

Peter Smart, of Sackville Gardens, said: "People raised money so they could have a hospital here so it seems a pity they should now move out. I would expect any money raised from any sale to be put to good use.

"The idea of a block of flats there would be depressing. It should be kept for some sort of medical purpose."

The Hove hospital originally opened as the Sussex Nuffield Nursing Home.

The Nuffield Nursing Homes Trust was approached by a committee of doctors and business people in the early Seventies interested in setting up a private hospital.

The trust bought the site in New Church Road and kick-started the campaign in 1972 to get it up and running.

In its campaign launch it said: "While a private nursing home run as a business could be sold at short notice for development, the local community can rest assured that one belonging to the Nuffield Trust must necessarily enjoy the stability inherent in its ownership by a nationwide charitable organisation."

During the Eighties the hospital became too cramped and a £10 million building was opened on the site of the former Fitzherbert School in Woodingdean in 1995.

The Hove hospital was kept on for consultations, X-rays, physiotherapy and dental services but in recent years numbers have dwindled with most patients going to Woodingdean instead.

The Woodingdean hospital is being expanded to cope with the extra demand.

It has 39 private bedrooms, three operating theatres, 15 day case rooms and consulting facilities