Scott Duxbury said proposals, which will see the land behind Vicarage Road developed with a new hospital and 600 new homes, could be "fundamental" to Watford FC’s future business plan.
He said: "Potentially it could be fundamental. Effectively, the town centre of Watford would shift towards the football club.
"The front of the stadium would effectively flip. We might be able to have on-site car parking for the first time.
"It could be huge for the club and we are making sure we are in the discussions, we are party to all the relevant decision making and as and when the development occurs and the various phases are implemented, you can rest assured the club will be in prime position to take advantage.
"The potential of that development is not lost upon us and could be really beneficial for the football club."
Mr Duxbury’s comments come in the run-up to the final decision over the health campus project being made in December by Watford Borough Council’s cabinet.
In the summer the construction company Kier was appointed to draw up plans for the huge scheme.
The project had been hit with controversy after it emerged in spring that the 100-year-old Farm Terrace Allotments, which had been protected in the original plans, may need to be built on.
Watford’s elected mayor, Dorothy Thornhill, who sits on the cabinet, welcomed Mr Duxbury’s comments.
She said: "I am delighted that the new management of the football club see the value of the project. I would have been bitterly disappointed if they hadn’t but they are an enlightened group of people."