Covering 25.5 acres, the development in the Toxteth Street neighbourhood of Openshaw comprises a range of 390 two and three storey townhouses, 36 two-bedroom apartments and 6 bungalow and is around a half mile from Manchester city centre.

Designed by architects, PRP, the scheme represents a modern interpretation of traditional terraced streets and will be built to the council's 'Design for Access' space standards.

The first phase will comprise 83 homes including 65 two, three and four bedroom houses and 18 two-bedroom apartments.

The houses will be a mixture of private housing available for purchase through the developer, Lovell, and social housing available for rent through Adactus Housing Association.

Secure parking, traffic calming measures and local amenities have also been incorporated into the plans.

The first homes are due for completion in autumn this year.

Eddie Smith, acting chief executive of New East Manchester said: "These modern homes are designed to be energy efficient, cost effective and more comfortable than the traditional terrace properties they are replacing. We have consulted with residents over the past few years to develop a scheme that best meets the needs of the local community. To see the first houses start to take shape is very pleasing and marks an important milestone on the regeneration of this part of Openshaw."

National housebuilder and housing regeneration specialist, Lovell, together with PRP Architects and Adactus Housing Association are all partners in the Toxteth Street neighbourhood development scheme.

Lovell regional director, Nigel Yates said: "It's fitting that residents have been invited to help lay the first bricks for this scheme which has been designed in close partnership with the community in order to meet the needs of local people and contribute to the ongoing regeneration of the area."

The redevelopment of Toxteth Street is one of a number of major initiatives underway in East Manchester to restructure the housing market in the area, backed by funding through the Manchester Salford Housing Market Renewal Pathfinder.

Other regeneration schemes in the Openshaw area include the new health centre which opened last year, a £40m district centre and Sporting Edge community sports facility.