Homes England has announced a £27.7mn investment to unlock 350 new homes in the Sheepfolds area of Sunderland as part of its partnership with the city council and North East Mayoral Strategic Authority (NEMSA).
The funding will help transform the former industrial site, set to be the largest residential neighbourhood forming part of Riverside Sunderland, with £10mn already invested by North East Mayor Kim McGuinness.
The announcement is the latest example of close collaboration between local authorities, Homes England and NEMSA, which recently announced a new delivery partnership to accelerate growth and house building across the North East.
The partnership includes a joint Major Projects Delivery Unit – one of the first arrangements of its kind in England and the first of its scale in the North East – bringing together expertise, resources and leadership from NEMSA, Homes England and local authority partners to unlock complex sites, support major developments and drive forward the region’s growth ambitions.
Three-way partnership
Tom Bridges, executive regional director, North East, Yorkshire and the Humber, at Homes England, said: “Our long-standing partnership with NEMSA and Sunderland City Council continues to deliver real results for local people. This latest funding will enable delivery of the next phase of Riverside Sunderland, one of the most exciting and impressive regeneration projects in England. It will unlock much-needed new homes on brownfield land in the heart of Sunderland and create a vibrant new neighbourhood that connects people to their city centre.
“We’re building on the great momentum already created by the delivery of Keel Crossing and our wider regeneration efforts throughout the city, and we look forward to continuing to work with partners to transform the city centre for the people of Sunderland.”
Councillor Chris Eynon, Leader of Sunderland City Council, said: “We’re delighted to have secured funding from Homes England that will enable delivery of infrastructure and public realm that will accelerate housing delivery, improve connectivity, and ensure the neighbourhood is fully integrated with the city centre and surrounding communities. This investment marks another major milestone in delivering our vision for Riverside Sunderland.
“Sheepfolds is a key part of our plans to create new homes, jobs and opportunities in the heart of the city, and its connectivity to the former Vaux site, through to the High Street and wider city centre means this is a vital next step in our journey to regenerate the whole urban heart of Sunderland.”
Mayor’s plan for homes
North East Mayor Kim McGuinness, said: “Everyone deserves a safe, affordable home, and my Plan for Homes is a huge step towards making that happen. We’re committed to building 15,000 new social and affordable homes right across the region in the next decade.
“But we’re already investing to make that happen. We’re transforming derelict sites, like the one at Sheepfolds, with a vibrant new neighbourhood. It’s just shows that we’re ambitious with our plans for Sunderland whether that’s backing Crown Works Studios, regenerating the city centre or building new affordable homes.”
The new Sheepfolds neighbourhood will support Sunderland City Council’s wider ambition to deliver more than 1,000 new homes across the city centre and forms part of the Riverside Sunderland Creative Mayoral Development Zone, playing a pivotal role in repopulating and reenergising the city.
Homes England said its latest investment would enable the delivery of high-quality infrastructure and public realm across the neighbourhood, including new roads, utilities and active travel routes that were essential to support residential development, while enhancing connectivity between the city centre and surrounding communities.
The new works would build on the success of the Keel Crossing pedestrian footbridge, opened last year and unlocked by Homes England funding, which connects the planned housing development and popular nearby leisure venue Sheepfolds Stables to the heart of the city centre.
*This report is based on a press release from Homes England.

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