Lovell has finalised an agreement with New Heartlands, the Housing Market Renewal Initiative for Merseyside, to build 283 homes in Rock Ferry, Wirral.
The £37m programme, involving demolition and new build, will be delivered in three phases over the next six years in the Fiveways neighbourhood. The first phases comprises 114 and work will start on site in the summer.
The majority will be family properties for sale, rent and shared ownership, to be provided by Lovell and its housing association partner, Riverside Housing.
Bruce Lister, regeneration manager for Lovell, said: "We have been working with the community and our partners to develop these proposals for some time now, and the signing of the agreement is a key milestone in the development process. After a short period of mobilisation, works will commence in June, when we can start to turn these plans into firm reality.
"I cannot praise the local residents enough for their honesty, patience and determination to back these proposals for the radical transformation of their neighbourhood."
Chris Bowen, HMR manager in Wirral, added: "We are delighted that the agreement has been signed, to see the first 114 new homes built. I thank the residents for the support for the scheme and it wouldn't have happened so quickly without their help.
"It has taken less than four years from starting consultation with residents to acquiring over 250 homes to releasing the first site for new build. Four years may seem like a long time but this scheme has moved forward a lot faster than many others of its size and complexity."