Northern Trust has gained planning permission from Fylde Council for the regeneration of part of the former Blackpool Pontin's site.
The privately owned property investment company plans a residential scheme consisting of a mix of apartments and detached family homes, totalling 275 units, on 22 acres of the 39-acre brownfield site.
A spokesperson for Northern Trust said: "Due to the current shortfall in the supply of housing, Northern Trust understands the importance of delivering new and affordable homes to the local community. The Company are therefore delighted that the planning application for part of the Blackpool site has been approved. The company will now look to commence a disposal strategy and enter into negotiations with prospective house builders."
Northern Trust said it is working closely with Fylde Council to bring about the regeneration of the remainder of the site.
The former Pontin's holiday park in Blackpool closed at the end of last year having been open for 40 years.
Ocean Parcs paid £46m in 2008 to acquire Pontin's from Trevor Hemmings, owner of Northern Trust, who acquired Pontin's for less than £30m in 2000.
Hemmings' development company is better known for industrial and office space but is currently taking advantage of opportunities in the market to build its residential portfolio. The firm has added to its land buying and planning teams over the past year as it seeks new sites and consents.