Rental homes developer Grainger is funding the £37m rental homes element of the wider development.
The scheme, includes a £25m new station building and integrated transport interchange, improved public realm, the widening of Walnut Tree Close and 440 new homes.
A 644-space multi-storey car park, part of the first tranche of rail improvements, will also be constructed.
Works at the station will begin this autumn.
Alan Jones, Development Director, Network Rail/Kier JV Solum, said “We are truly excited about the start of construction works on this important strategic site in Guildford.
“Not only does it provide significant rail infrastructure improvements that otherwise may not have come forward, but it also creates much-needed quality homes on a currently underutilised brownfield site.”
The build to rent transaction with Solum is subject to the satisfaction of several conditions.
Once these have been satisfied construction of the private rental flats will begin in the summer of next year.
Helen Gordon, chief executive of Grainger, said: “Today’s acquisition in Guildford is an exciting addition to our growing portfolio of high-quality rental homes across the country.
“Demand for renting in areas like Guildford continues to grow, and this scheme will add to our cluster of nearby assets in Hampshire which will stand at over 300 rental homes, improving our ability to drive efficiencies while delivering a great service to our customers.”