Homes England has invested £27.7 million in the Sheepfolds neighbourhood development in Sunderland, unlocking more than 350 new homes as part of the Riverside Sunderland regeneration programme.
The government's housing and regeneration agency funding comes from its Brownfield Infrastructure Land Fund and will support the largest residential neighbourhood within the wider Riverside Sunderland area. The North East Mayoral Strategic Authority has already committed £10 million to the scheme.
Transforming a former industrial site
The Sheepfolds site, located next to the Stadium of Light, has been largely underused for years despite its proximity to the city centre. In April, councillors approved redevelopment plans, which were revised from an initial 600 homes to 450 after Sunderland AFC raised concerns about matchday operations.
Developer Vistry Group will build the site in stages, with a mix of apartments, townhouses, maisonettes, and family homes. The neighbourhood is part of the council's wider ambition to deliver over 1,000 new homes across the city centre.
Infrastructure and connectivity
The funding will support infrastructure and public realm improvements, including new roads, utilities, and active travel routes. It follows the opening of the Keel Crossing pedestrian footbridge last year, also funded by Homes England, which connects the development to the city centre and the Sheepfolds Stables leisure venue.
Tom Bridges, executive regional director for North East, Yorkshire and the Humber at Homes England, said: "Our long-standing partnership with the North East Mayoral Strategic Authority 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."
Coun 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."
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."
