The partnership with NPS Property Consultants Ltd will see 135 of Devon's property services staff transfer to a new company to be known as NPS South West Ltd.
NPS South West Ltd will employ the transferred staff and its services will include estates and asset management, building and quantity surveying, architectural design, facilities management, mechanical and electrical engineering and energy management and project management.
Profits made by the new company will be split between Devon and Norfolk CCs.
Devon CC executive support for property management, Julian Brazil, said:
'This is a great opportunity for Devon County Council. It will combine the business processes of the private sector while maintaining the public sector conscience.'
Norfolk CC cabinet member for commercial services and efficiency, Tony Williams, and NPS main board director, said:
'NPS continues to go from strength to strength. Its innovative approach is providing benefits of scale and economies in the public sector, and is benefiting council taxpayers in both Devon and Norfolk.'
Finance & corporate services