Immanuel College is to open a junior school at its Bushey campus in September 2011, in response to the growing demand for Jewish primary places in Hertfordshire.
The independent school will start with classes for reception and year one, with 20 places available in each. Initially at least, the junior section will be contained in existing premises.
Immanuel head Philip Skelker said: "The presence of junior children in our enlarged school will provide new and exciting ways to develop the sense of community at Immanuel. Senior school pupils will have the chance to contribute to the younger pupils' experience in areas as diverse as sport, art and English and Hebrew reading."
Educational philanthropist Benjamin Perl said it would be "a welcome addition to the choices available to Jewish parents. I believe there is a strong demand for several new one-form entry Jewish schools in the Hertfordshire area."
The senior school has experienced around a 20 per cent decline in applications for September 2010, a drop attributed to "external economic factors".
But marketing manager Naomi Cowan said the Immanuel management was confident of a strong demand for places in the junior school. Seven inquiries had been received in two days.
Hertfordshire parents have set up a working group towards the establishment of an additional state-aided primary in the area.