INVITED guests celebrated the official start of building work of a major new housing development in Basingstoke.

Sentinel Housing Association and Barratt Homes hosted the event at the site in Chapel Hill, after securing planning permission last month to build 578 new homes on the 25.6-acre brownfield site which used to be occupied by Eli Lilly.

Guests, including borough and county councillors, had the chance to view the final plans before touring the building site.

The development, which will be called Chapel Gate, will include a mix of one, two, three and fourbedroom homes, of which 230 will be affordable for rent and shared ownership.

Mark Perry, chief executive at Sentinel, said: “We are here to celebrate the fact we have got full planning permission on this site which is fantastic. We have been working on it for quite a while. We first acquired the site in 2012 so it’s been a long process.”

He added: “Having taken the risk of buying the land and getting the initial planning permission, we’re pleased to have Barratt Homes join us as partners bringing their extensive construction and sales expertise to the table.

“Working together means we can offer more for local people with a great mix of options on new homes. The site will have something to suit a wide range of budgets.”

He told guests of the “acute housing need” in Basingstoke, adding: “These 578 homes will really go some way to meeting that housing need.”

The development will include a residential conversion of the iconic white building, which will be transformed into one, two and three-bedroom apartments.

Mr Perry said: “I heard a story about how the top was painted blue and there were some ducks put on it to make it look like a lake during the war, to stop it from being bombed. If it can survive that it can survive this.”

Ian Menham, managing director at Barratt Homes, said: “We have a long history of successfully building quality homes in Basingstoke and so we look forward to watching this exciting new community start to take shape. With its excellent town centre location and wide range of homes coming to the market, we are certain that Chapel Gate will be a popular new address.”

Mr Menham spoke of Basingstoke being named as a “property hotspot” and added: “That was never a surprise to us and I’m sure lots of the 173,000 residents who already live here.

“We are absolutely delighted that this development will provide an opportunity to attract even more residents to enjoy all this town has to offer” he added.

Chapel Gate is expected to launch for sale later this year.