The former Park Prewett hospital site in Basingstoke will deliver over 1,000 new homes in plans put forward by the national regeneration agency.

The site is the first former hospital site to be marketed since taking over a portfolio of 67 redundant NHS properties three months ago

A further section of the site - which lies outside the development brief - will provide space for around 130 more homes to be built through the agency’s Design for Manufacture competition, which encourages greater efficiency and innovation within the construction industry. Together, the phase one development and Design for Manufacture Competition on this site will create around 1021 new homes.

English Partnerships has also ear-marked the site to include the first tranche of homes under the Office of the Deputy Prime Minister’s First-Time Buyers' Initiative (FTBI).

David Higgins, chief executive of English Partnerships said they would shortly be unveiling plans for other sites across the country. "There is an urgent need to address the housing shortages in the south east and in particular to provide homes that are affordable for those wanting to get onto the first rung of the property ladder," he said.

The exact number of homes to be made available under the FTBI has not yet been determined, but it is estimated that around 100-150 of the total number of market sale homes would be set aside for the scheme. In addition up to 200 affordable homes for rent would be delivered on phase 1 as part of a section 106 agreement.

Deputy Prime Minister John Prescott said, "This surplus hospital site in Basingstoke will provide over 1,000 homes to rent, part-own or buy for a wide range of people including first time buyers and key workers like nurses and teachers. It’s part of our programme to turn land that no longer meets the needs of today’s NHS into sustainable new places to live and work."

Developers have until 15 September 2005 to submit their bids for the site. English Partnerships expects to announce its preferred developer by the end of the year, with work due to start on the ground in spring 2006