Homes England has led a £96.7m deal to develop a major residential scheme near Leeds city centre.  

The five-acre site on Kirkstall Road, the scheme will build 618 one-, two- and three-bedroom apartments set across five buildings in landscaped grounds, including a new public space next to the River Aire.

Construction has begun, on the site a mile from the city centre, and is expected to be completed by the end of 2027.

Along with Homes England, Greater Manchester Pension Fund and West Yorkshire Pension Fund will provide a £91m loan over four years.  

Also, the West Yorkshire Combined Authority provides a £5.7m grant from its brownfield housing fund. 

The scheme is being built as a joint venture with residential developer Glenbrook, which will retain a stake in the project and act as development manager. 

The scheme is part of the government’s commitment to build 1.5 million homes over the next five years. 

Homes England director of loans Nigel Barclay says: “As the government’s housing and regeneration agency, we are committed to working in partnership with organisations in both the public and private sector, to achieve their ambitions and develop much-needed new homes across the country.” 

The deal from Homes England comes after its chair Peter Freeman and chief executive Peter Denton announced they would resign in November, after being sent a letter by housing minister Matthew Pennycook, setting out higher 2025 homebuilding targets.