Kier Partnership Homes (KPH) has been selected to redevelop the Windmill Estate in Fulbourn near Cambridge.

KPH, part of the Kier Group, will begin redevelopment of the Fulbourn site under the £28 million contract in early February.

Formal planning approval was granted on 7 November 2007 to enable the Windmill Estate redevelopment plans to commence following many months of negotiations between Accent Nene, South Cambridgeshire District Council, Fulbourn Parish Council and local residents.

The approved master plan for the estate includes the provision of new homes for rent, shared ownership and outright sale with the inclusion of up to 273 new dwellings being proposed over a four phase programme.

The detailed approval of phase 1 includes 120 new dwellings and a new community centre. The community building will replace the existing facility in Haggis Gap and will include a community hall and provision for the Fulbourn volunteer library service. KPH will start work with the demolition of the existing community centre and houses in February, prior to commencing construction.

John Walton, development and regeneration manager at Accent Nene, said: "This is a significant and exciting step forward for the project. The granting of planning approval and the selection of KPH as Accent Nene's construction partner means that we can now start building new homes for local residents. This latest news justifies all the hard work that has been put into the project over the past three years that has involved a number of local partners.

"This project demonstrates Accent Nene's commitment to creating 'sustainable communities' on complex projects that can secure benefits for the whole community.

"The next stages will see Accent Nene focusing on the delivery of phase 1 starting in February."

KPH managing director Dennis Seal added: "We are delighted to have secured this contract, particularly as this is the first project of this size and nature that we have worked on with Accent Nene through its framework partnership.

"We are looking forward to working with Accent Nene and local residents to successfully deliver this important scheme which I am sure will enhance the lives of those who live in it. We intend to do a sterling job for them, starting with phase 1 of the Windmill Estate development at Fulbourn."

Jo Cowe, chairman of Windmill Estate Residents' Panel (WERP), said: "Existing residents have waited for this latest news for a long time now and we are pleased that work is about to start in order for all residents to be able to move forward."