Cheshire-based Mulbury Homes has started work on a 92-unit affordable housing scheme in Warrington.
Mulbury will sell the homes in Thelwall Lane, Latchford to housing association Helena Partnerships upon completion.
The mix of two-, three-, four-bedroom homes and two-bed apartments will be available for rent, shared equity and shared ownership.
The homes, due for completion in late 2012, will be Helena Partnerships' first stock outside its heartland of St Helens.
Greg Mulligan, director of Mulbury Homes, said: "This four-acre former industrial site has provided a great regeneration opportunity to create a development that meets the housing needs of local families and key workers in the area and also provides homes of which residents can be proud.
"We have worked closely with Helena Partnerships and all local stakeholders to ensure this scheme offers the right mix of high-quality affordable homes that are energy efficient and meet exacting design standards."