It paves the way for work to start on the new road to the industrial parks of Pilsworth Road, where 1,000 new homes will be built, along with a new primary school, and over 1.4m sq ft of work space.
Preparatory works by Sisk are expected to start in the autumn, with road completion set for spring 2022.
The scheme is being delivered by Rochdale Development Agency and Rochdale Borough Council in conjunction with developer Russell Homes.
Councillor Neil Emmott, cabinet member for environment at Rochdale Borough Council, said: “This is a proud moment for the borough and the result of many years of hard work by the council and Rochdale Development Agency.
“The new link road will bring significant improvements for residents and businesses in the Heywood and Middleton areas by providing a new direct access route from the M62 into the Heywood employment area, which will reroute HGV traffic away from Heywood, Birch and Bowlee.”
As part of the contract, Sisk will recruit 80% of project staff from Rochdale and the surrounding area, create traineeships and ensure 65% of project spend is with local suppliers.
Russell Homes director, Andrew Russell, said: “The link road is a vital piece of infrastructure to unlock the future economic development of South Heywood, and we are pleased to see the project progressing in line with our masterplan proposals.
“The link road will significantly improve connectivity for the South Heywood industrial zone and will help attract new businesses to the existing and new commercial premises under development in the area, with the potential to create around 2,800 new jobs, and benefit the hundreds of new homes which are set to be delivered over the coming years.”