Eastbourne is set to benefit from a £1.2million cash boost which will help build more than 100 new homes.
The money will be spent on getting the old Pump House site in Bedfordwell Road near Whitley Road Bridge ready to be built on.
Planning permission has already been granted for 102 flats and houses and converting the Pump House, which is a listed building.
The money is part of a £866 million Housing Infrastructure Fund for council-led projects across the country that the government says will make housing developments viable and get much-needed homes built quicker.
The site was formerly a pumping station in the 19th century but was then used as a depot and office compound.
Eastbourne council bought the site for an undisclosed figure in April last year.
The news it will be developed after the government cash boost has been welcomed by Eastbourne MP Stephen Lloyd.
He said, “It is good news that the Government have responded positively to Eastbourne Borough Council’s active bid to develop housing at the former direct labour site in Bedfordwell Road.
“The £1.2m grant will help advance our councils determination to build more affordable housing for the town. An enormous amount of my casework is around housing and the long waiting lists, so when the homes are eventually built they will go some way toward alleviating our local housing shortage.”
And council leader David Tutt said, “I am delighted that council officers have secured this funding, it is excellent news and will help deliver an important local housing project.”
Former MP Caroline Ansell added, “This is a substantial investment by the Government to help make a real eyesore into much needed homes for Eastbourne.
“The pumping station is a beautiful listed building but the rest of the site has been a blot on the town’s landscape for many years, so this money to help start transforming it is most welcome.
“This is also another example of the Government pumping money into our town to finance major projects that make a real difference to residents’ lives. Already we have received millions of pounds of investment for Sovereign Harbour and Devonshire Park and now this cash too.”
The council says the first phase of works is due to start in late February and will focus on site preparation including land remediation works.