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The project will deliver around 15,000 homes across North Manchester with the first phase of mixed-tenure homes transforming the Collyhurst community.
A full public consultation will also take place.
The 155-hectare area stretching northwards from the city centre – from NOMA and New Cross, through the Irk Valley to Collyhurst – will be the largest contributor to the city's residential growth strategy to meet rising demand by a population that is growing quickly.
The Northern Gateway project is a joint venture between Manchester City Council and property developer Far East Consortium (FEC).
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The Collyhurst neighbourhood will be one of the first areas to benefit from the investment where the area will become a key focus of the North Manchester Housing Affordability Zone which will create a focus for mixed-type affordable homes investment, including new council-owned social housing and a range of accessible housing products for sale and affordable rents.
Local facilities will also be developed with stakeholder support to service the planned population growth with schools, sports and leisure provision and medical services.
Councillor Bernard Priest, Deputy Leader of Manchester City Council, said: "We have a once in a lifetime opportunity in the Northern Gateway to improve and develop a huge swathe of unused land within walking distance of the city centre and employment opportunities.
"In doing so we will be able to meet the modern housing needs of Manchester and help build a mix of housing types and tenures to provide a true housing choice for Manchester people – and help meet a huge demand for quality homes in the city over the coming decade.
"We are already in the process of securing additional grant funding to push forward with the first phase focused on Collyhurst – to build new social homes and other affordable housing products – and we will consult with residents around the proposals at our earliest opportunity."
(CD)
