Work has started on 42 homes in South Otterington, just south of Northallerton.
Lovell Partnerships is building the 1,2,3 and 4-bed homes after acquiring the site last month.
Plans for the scheme were approved last summer.
The mixed tenure scheme will include 10 two-bedroomed bungalows and 12 affordable homes alongside properties suitable for families and young professionals.
Phil Jones, regional head of land and partnerships at Lovell, said: “The mixed tenure that this development offers will provide much-needed house types including bungalows that are currently in demand nationally, as well as affordable options.”
Due to be named ‘Saints Green by Peggy’s Field’, the site’s name pays tribute to the previous owner’s mother, a local farmer in the area, and will include enhanced landscaping and publicly accessible open space.
Paul Devaney, regional managing director for Lovell North East, added: “The North Yorkshire countryside can’t be rivalled and like every development we create, we strive to respect and support the surrounding area, ensuring that we are genuinely building upon the existing community there.
“It’s fantastic to begin working on such this brilliant new neighbourhood – one of many in the pipeline for us across the region this year.”
The site is expected to be complete by summer 2025, with the show home set to open in September this year.
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