Avant Homes South Wales and Valleys to Coast have agreed a £42m deal to deliver 194 affordable homes in Maesteg.
The development will be built on the 16-acre former Ewenny Road Industrial Estate.
Bridgend County Borough Council used Cardiff Capital Region funding to prepare the brownfield site for the new homes.
Avant Homes will build a mix of energy-efficient properties.
At least 108 of the homes will meet Welsh Design Quality Requirements, with an Energy Performance Certificate (EPC) rating of A and be carbon free.
The rest will have an EPC ‘B’ rating.
The site will offer one-bedroom apartments, and two, three and four-bedroom terraced, semi-detached and detached homes.
Avant Homes South Wales plans to submit a reserved matters application in August.
If planning is approved, work is expected to start in March, with the first residents moving in by December.
Martin Smith (pictured, left), managing director at Avant Homes South Wales, said: “This deal is an excellent example of effective collaborative working between Bridgend County Borough Council, Cardiff Capital Region, Valleys to Coast and ourselves.
“Its successful conclusion enables the provision of more quality new homes for the South Wales Valleys in a development that will create a thriving new community within Maesteg.
“This is a landmark deal for Avant Homes South Wales with it being our first one with Valleys to Coast, and our first in Wales.”
Smith added: “We have a highly capable and ambitious local team in our business who are proud to be playing their part in delivering this exciting and essential regeneration project.
“We will continue to build upon this momentum and we are in advanced discussions regarding a number of other deals to provide quality affordable new homes throughout South Wales.”
