Thirteen has been granted planning permission to build 145 new homes at Gresham in Middlesbrough.
The affordable new homes, which will be two, three and four bedrooms and a mix of houses, apartments, and bungalows, are planned on land between Diamond Road and Union Street.
Work is expected to start late 2020 and the first of the new homes should be available to rent in summer 2022.
Ian Wardle, Thirteen’s chief executive, said: “We’re delighted that this long-awaited scheme has been given the green light and we’re looking forward to working with Middlesbrough Council and Homes England to deliver these fantastic new homes in the heart of the town.
“There’s a real mix of different property types which will help address the demand for affordable housing in Middlesbrough and create a lasting legacy for years to come.
“With strong access links to the town centre and within walking distance of lots of key amenities we know there will be demand for these homes and we can’t wait to see the development start and residents move in, to begin their future in one of our new homes.”
Mayor of Middlesbrough, Andy Preston added: “After years of dereliction and despair something great is happening in Gresham.
“This hasn’t been easy to make happen so congratulations to Thirteen Group and Middlesbrough Council.
“I promise everyone that this step forward is just the beginning.”