After initial surveying of Port William and the waters of Jackson’s Harbour (later named Stanley Harbour) by Lieutenant Sullivan, it was decided the much deeper waters of these areas were more suitable for a port than that of the Port Louis area. 

Following instructions from Lord Stanley, Moody continued investigations and after some discussion with London decided on the site to the south of Jackson’s harbour for a new capital, named Stanley, after Lord Stanley.

Work began on the new town in July 1843.  By July 1844 the Government had built a carpenter’s shop, a blacksmiths, two wooden cottages, and a storehouse that was subsequently used as a barracks, a hospital and a gaol (which still stands today).  Several private cottages were also constructed by the married men of the marine detachment in the Islands.  The move to Stanley was almost complete by the end of 1844, and it was estimated that property on the new site was worth £5,000 as opposed to the £3,000 worth of property remaining at Port Louis.