Blackpool-based housebuilder Breck Homes has started construction of 55 homes off Westfield Road in Wyre.
Wyre Council approved plans for the project in September, despite objections from Catterall Parish Council over the proposed density of the scheme.
The development will comprise a mix of one-, two- and three-bedroom houses and apartments across the 3.5-acre site next to the recently completed Beacon Retail Park.
Once complete, the homes are to be managed by Leyland-based housing association Progress Housing Group.
The £8.5m scheme has been funded by government agency Homes England and will provide a mix of rented and shared ownership homes.
Mosaic Town Planning was the planning consultant for the project.
Breck founder Andy Garnett said: “We have made a flying start to the work in a safe and controlled manner. It is the start of big things in our housing division, we already have a significant number of projects in the pipeline.”
Breck, based at Blackpool Technology Park, has three divisions: Breck Holdings, which focuses on commercial property investment opportunities, Breck Developments, specialising in strategic land opportunities and special projects, and Breck Homes, the group’s affordable housebuilding arm.
Garnett, whose company has completed several acquisitions this year, is eyeing further deals before the end of 2020.
In April, Breck bought a 65,000 sq ft factory on Farrington Road Industrial Estate in Burnley, and in May it acquired a Co-Op supermarket on Warley Road in Blackpool.