H2O, a partnership between the Canal & River Trust and property development company Bloc, is building a waterside development of 14 family homes in Lancaster.
The development is in a disused, historic canal wharf, Aldcliffe Yard, situated in a city centre conservation area off Aldcliffe Road.
Aldcliffe Yard overlooks the Lancaster Canal and will include a mixture of new-build three- and four-bedroom houses as well as refurbished three-, four- and five-bedroom homes created out of listed, stone canal buildings.
House prices start at £295,000 and work is expected to be completed by July next year.
Due to the composition of the H2O partnership, part of the profits from the development will be re-invested in the canal network for public benefit.
The contractor is Construction Partnership UK. The architect is PRP.
Mike Atkinson, H2O project manager, said: "We launched this very attractive residential scheme in the summer and already half the plots are sold. Opportunities to buy into such an attractive piece of Lancaster canal heritage don't come along very often. One of the new houses even includes a small, historic cargo crane in the back garden. This really is a unique site, providing beautiful contemporary homes in a heritage waterside setting."