Up to 40 new 'affordable' homes are to be built at Crook in County Durham.
Galliford Try's Partnerships North has been appointed to deliver the homes as part of a £30 million investment programme, which will see almost 300 new homes built on 17 sites stretching from rural Weardale to the Durham coast.
Construction work on the properties will be completed in stages during 2018.
More than 100 new jobs and apprenticeships are expected to be created through the project.
In addition, Galliford Try has contributed £1.2m towards the project from its 2015-18 Affordable Homes Programme (AHP) grant, secured from the Homes and Communities Agency.
Alexandra Ross, Business Development Manager with Galliford Try Partnerships North, said: "Working closely with housing provider partners to improve the quality and choice of homes across the North East is a core aim and we are delighted to have been selected to deliver this project."
(LM)
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