Up to 1,500 new homes could be built alongside the River Trent in Derbyshire.
Countryside Properties has bought almost 200 acres of land at Drakelow, just south of Burton, where it hopes to put up the new homes – including 400 affordable properties.
It also plans to build a new crossing over the river to replace a single track bridge put up as a temporary measure 70 years ago.
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The plans for the new bridge were originally proposed 10 years ago as part of a deal to build the new homes at Drakelow, which would also include a bypass.
It is one of the busiest crossings on the river serving as a link between South Derbyshire and Burton.
Pending planning, the Drakelow Park plans would take the total number of homes on the land to 2,200, with Leicestershire-based David Wilson Homes now nearing completion of the first phase.
Roger Bullivant, founder of the Drakelow Park Group which sold the land to Countryside, said: “The Walton-on-Trent bridge has been a nightmare for decades.
“I am delighted that this deal will not only bring much-needed housing to the area but will also finally resolve the river crossing, bringing relief to the village of Walton, easing the traffic through Burton and Stapenhill and opening up opportunities throughout the area.
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“It has always been my dream to regenerate the site one day and open this attractive woodland and riverside to the public in what was the extensive grounds of Drakelow Hall.
“A lot of people have helped to make this possible but I would like to pay particular tribute to the local council officers in South Derbyshire and others in both Derbyshire and Staffordshire who have worked with us to make this happen.”
Adam Daniels, managing director of Countryside Properties, said: “Our acquisition of the land at Drakelow Park is a huge step forward in our ambitious plans to regenerate the site into a thriving community of high-quality new homes supported by extensive local services and amenities.
“We understand the local appetite for the third river crossing and we are wholly committed to delivering this vital part of the development to ensure that the new neighbourhood at Drakelow Park brings essential improvements to the current infrastructure.”
Countryside is currently developing the plans for Drakelow Park with public consultation expected over the coming months ahead of a detailed planning application.
If it gains planning, the first phase would include 1,000 homes, of which 400 will be affordable housing through Midland Heart.
A further 500 homes will be delivered in the development’s second phase.
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As part of its detailed planning application, Countryside is reviewing its Section 106 commitments.
Once agreed with the planning authority, these are expected to include the construction of a new primary school with additional contributions to education, local amenities, medical services, public open spaces and play areas.
Mr Daniels said: “We are extremely excited about moving forward with the development of Drakelow Park and will be spending the coming weeks and months in consultation with the local community to draw up detailed plans for the site.
“Importantly, we will be working with the planning authority and community stakeholders to understand their local needs to ensure our Section 106 commitments provide the required investments that will serve local people.”
Countryside Properties’ work on the site will also include refurbishing the Grade II Listed former Drakelow Hall stable and will add to the 193 homes currently under construction.