The Homes & Communities Agency has submitted an outline planning application to Sefton Council for a 370-home development on a former hospital site in Maghull.
The application includes plans for new railway infrastructure and contributions to motorway junction improvements, which will help unlock the site for further development.
If approved and delivered, the development would provide 370 homes, including affordable housing, car parking to support a new railway station known as Maghull North, and protection and enhancement of the site's landscape, environment and ecology.
The 36-acre former hospital site was acquired by the HCA from the Ministry of Justice in 2013 as part of the government's land disposal programme after plans to build a new prison on the site fell through.
The HCA carried out extensive consultation with local residents and statutory consultees to ensure that plans for the development met local expectations. The resultant proposal incorporates existing on-site ecological features, helping to create an attractive network of open spaces within the development and enhancing accessibility from the site into the surrounding area.
Subject to planning approval, it is anticipated housing construction will start in autumn 2015.
Carl Moore, head of area for Liverpool city region at the HCA, said: "The HCA acquired this site from Ministry of Justice as part of the government's initiative to accelerate the delivery of much needed housing on sites within the public sector portfolio, so I'm pleased that we are able to submit a planning application at this time. The whole team has worked hard to ensure the application addresses the concerns and expectations of the local community."