Work on a new car park at Seven Brethren in Barnstaple is under way.
The new long-stay car park will be located alongside the football pitches at Tarka Tennis Centre and Seven Brethren Recycling Centre.
When complete in August it will have 340 spaces and will serve as the new home for Barnstaple Fair.
Local contractor SEL Clarke has been appointed by Tarka Living Limited to carry out the works. The first 10 weeks of the project will see the import and export of soil and stone from the site of the old leisure centre.
Disruption to businesses and existing car parks will be kept to a minimum and activity will be managed to take place outside of the area's busiest hours where possible. No business or car park closures are anticipated as part of the works.
A two-week closure of the footpath running alongside the artificial grass pitches is expected in May to allow work on the footpath to take place.
Lead Member for Economic Development and Regeneration at North Devon Council, Councillor Malcolm Prowse, says: "I'm delighted work on the new Seven Brethren car park is under way. When complete, the car park will serve as a new long stay option for those working in or visiting Barnstaple, and will be the new home for Barnstaple Fair when it comes to town every September.
"We do not anticipate any major disruption during the works, and it will be a case of business as usual if you are visiting Tarka Leisure Centre, Falcons Gymnastics or Seven Brethren Recycling Centre. A short footpath closure will be required later in Spring, and we will communicate more details about this in due course."
The council has been working with Tarka Living Limited to deliver the Seven Brethren regeneration. As well as the new long stay car park and traveller toleration site, the scheme will deliver new homes on the site of the now-demolished old leisure centre and flood defences.
The council was awarded a £2.2m grant from the government's Land Release Fund (LRF) in 2019. The LRF was introduced to help councils unlock land for residential development.