Work is progressing on the redevelopment of the former Borsdane Precinct site in Hindley after a deal was agreed between owner Wigan Council and Clowes Developments.
Clowes Developments has acquired a leasehold interest in the site from the council, which retains the freehold, and appointed GF Thomlinson as the main contractor to carry out the construction work.
The precinct in Borsdane Avenue comprises a number of vacant retail properties and maisonette flats, which have been derelict for around 10 years.
The first phase will contain a convenience store, four other units and car parking. The units have been pre-let to James Hall & Co trading as Spar, Ladbrokes, SJZ Dispensing Chemist, Galloways Bakers and Barnardos.
The second phase will see the demolition of redundant properties and the development of 24 houses.
John Barker, partner at Hitchcock Wright, advising Clowes Developments, said: "Whilst Borsdane Precinct has had a troubled history, the developers working with Wigan Council have successfully met the challenges to create a sustainable development and regeneration of the former precinct for the community as a whole."
Work on the first phase is expected to be complete by October 2013.