The transformation a former Huddersfield hospital has got the go-ahead.

Councillors unanimously paved the way for up to 200 new homes, a supermarket and small neighbourhood centre to form the basis for the revamp of the St Luke’s Hospital site in Crosland Moor.

The Blackmoorfoot Road site will also be home to terraced retail units with community space or offices above, a new family restaurant or pub, a foodstore and petrol station.

Viviene Clements, from the developers, said: “St Luke’s has been vacant since 2011 and the hospital trust has taken a leap to borrow the money to undertake significant regeneration to make the site suitable for development.

“The site is a key capital asset for the Trust to enable them to invest in local NHS services. The first phase was Acre Mill which is finished and which St Luke’s will be set against.”

The developer has offered 15% affordable housing provision within the site, something supported by councillors.

Clr Terry Lyons said they were not being “hypocrites” in allowing the low affordable housing numbers due to the amount of asbestos that had to be cleared from the site.

Clr Graham Turner said the “huge costs” the Trust faced “begs the question why they can still afford 15% affordable housing when they couldn’t in Skelmanthorpe”. Clr Turner had previously criticised a developer’s offer of just 12.5% affordable housing on a straight, open field.

Clr Steve Hall, committee chair, said: “It makes a nice change to have a brownfield site come forward that has both housing and employment uses.”

Planning obligations include £200k towards junction improvements at Lockwood Bar.