The scheme being developed by housing association Catalyst and developer Galliard also includes improved public realm and a new sports stadium to be delivered by AFC Wimbledon.

Housing Minister Kit Malthouse will announce the deal today, which is the first to be agreed from the £1bn Housing Delivery Fund.

The Housing Delivery Fund was set up between the government and Barclays Corporate Banking to provide loan finance to open up the housing market and help small and medium-sized developers to deliver new homes across the country.

Ealing-based Modebest Builders will be groundworks contractor on the housing element of the site.

Homes England also signed a smaller deal for £5.3m in Southampton to help developer Cannon Capital Developments convert a former commercial building into 56 apartments for private sale in the city’s Ogle Road.

Sir Edward Lister, Chairman of Homes England, said: “We promised to form new, innovative partnerships to shake up the housing market and do things differently to accelerate the delivery of new homes across the country, and this partnership with Barclays is doing just that.

“This is a real milestone moment as we announce the first loan deals to come to fruition, which will see new housing be delivered in two areas where it is needed most.”