Northumberland College will relocate its Ashington campus to Wansbeck Business Park following a deal with owners Advance Northumberland.
The new campus will be built by the Department of Education (DfE) which has already appointed Sheffield-based architects Race Cottam and national development consultants Mott Macdonald to create a detailed feasibility study.
A planning application for the development - which the college says will stimulate the local economy - will be submitted to Northumberland County Council in the coming months.