The partners plan to build 800 new homes in Brough as well as health and leisure facilities, shops and offices.
If approved, construction work is expected to get underway next summer.
The plans contain details of highways improvements specifically designed to benefit the proposed development.
Managing director of Horncastle Group, Ian Hodges, said: “As part of these plans we are proposing major junction improvements at the A63 Brough, Elloughton and Welton interchange to improve capacity, deal with existing congestion and improve safety.
“Phase 1 of the Brough relief road has already been constructed and phases 2 and 3 will provide an important link to Skillings Lane and BAe Systems.
“Additional highway improvements would also be completed as part of Brough South, including increasing capacity of the roundabout linking Moor Road and Welton Road.”
John Grime, managing director of Redrow Homes (Yorkshire), said: “We’re delighted to be a partner in this venture, which will create a mixed use sustainable community on brownfield land.
“Redrow has extensive experience in this type of development and has previously worked with BAE Systems to redevelop the former Royal Ordnance Factory site in Chorley, Lancashire.”