Building work is about to start on 335 new homes for families in Hebburn - which is claimed will give the borough’s economy a £100m predicted cash boost.
The creation of the new Bedewell Court in the coming weeks will also see housebuilder Barratt create or sustain more than 300 much-needed jobs for the area.
The 20-acre development, on a reclaimed former industrial site which was once home to the town’s Baker Perkins factory, is set to be completed over the next six years.
Infrastructure work is now well underway to allow the scheme to progress.
Housing bosses have calculated that Bedewell Court will inject investment of around £100million into South Tyneside - £40m of this will be directly and around £60m indirectly.
Although the properties have not yet been marketed, Barratt said it has already seen “very significant” levels of interest into the new builds.
The homes will feature the new design of house types developed as a result of customer feedback.
Neil Milburn, development director at Barratt Homes North East, said: “We have worked closely with South Tyneside Council for many months on the planning and development of Bedewell Court, and now we are almost ready for construction work to begin on site.
“This is a very sizeable development and a significant one for South Tyneside, bringing new life to a site which has so much industrial heritage.
“It will contribute significantly to the local economy in terms of both investment and jobs.”
He added: “The new homes market is currently very good, and interest in Bedewell Court has been high even before we have begun marketing the site, so there are strong indications that this will be another successful Barratt development.
Law firm Sintons handled the site acquisition on behalf of Barratt, with development specialist Alan Harkness leading the work.
Mr Milburn added: “We are grateful to Alan and his team at Sintons for their expertise and support in bringing our Bedewell Court plans to fruition.”
Mr Harkness, consultant in the real estate team at Newcastle-based Sintons, is excited about the builds.
He said: “This is a very exciting new residential scheme for South Tyneside, which not only regenerates a huge site which has lain derelict for some years, but also brings significant new investment to the area.”
He added: “Barratt is one of the biggest and most highly-respected names in UK housebuilding.
“We are delighted to have assisted with this new development in their native North East.”