The land owners Harworth Group was granted planning permission for the development from Wakefield Council in September 2016 and selected Keepmoat Homes to deliver the construction of the new buildings.
As part of the development, Keepmoat Homes will build 157 new two-, three- and four-bedroom properties, as well as 32 affordable homes for the Leeds Federated Housing Association.
The scheme will include the development of a family pub, 50,000 sq ft of small commercial units and associated works.
Dan Crew, land and partnerships director for the Yorkshire West division of Keepmoat Homes, said: “Getting started on a new site is always one of the most exciting parts of housing delivery.
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“We are now in a position to start utilising our strong relationships with the local schools and colleges to explore training and apprenticeship positions for young people and get them involved in transforming their neighbourhood at the earliest opportunity.
“It was great to have all partners on this project come together and celebrate us breaking ground.”
The first phase of the development will take three years to build out and full completion is scheduled for 2020.
Chris Davidson, associate director of major projects at Harworth Group PLC, added: “We’re delighted that our second major residential development in West Yorkshire is now underway.
“We’ve been impressed by what Keepmoat has planned for the site and I’m looking forward to the first residents moving on to site shortly.”