Chief executive Barbara Williams says needs have grown substantially and it is hoped the income from selling the original house will help fund expanded services.
"For 25 years we have been a Hospice dedicated to enabling people to die in their own homes," says Ms Williams.
"However, we have grown hugely and we are now looking to expand our services to include in-house care facilities for people who need more specialised care."
Hospice West Auckland was first set up a quarter of a century ago by nurse Beverley Revell in her home.
Today its specialist palliative care team provides round-the-clock care to approximately 170 patients and their families and more than 10,000 visits to patients are made each year.
Half of the $3.9 million in the Hospice's annual operating costs is raised through fundraising, business support, trusts and grants, and private donations.
"We always have a huge need to secure funding over and above what we receive each year from the District Health Board."
Ms Williams says the board is still considering the most suitable land for new plans.