WORK is under way on a £10m scheme to convert former mills in Meltham into homes.
Sunnybank Mills will be transformed to provide 40 houses and 19 flats under the scheme spearheaded by Bolton-based Hargreaves Homes.
Managing director Gerry Sweeney said the properties would range from two-bedroomed apartments to four-bedroomed houses.
They would be priced between £90,000 and £230,000.
Some of the homes would be in the renovated mill buildings with the rest built to blend in.
Mr Sweeney said it was hoped that the setting - within easy reach of the Colne and Holme Valleys - would prove attractive to buyers.
The proposal is the latest in a series of schemes across the Huddersfield area to convert disused textile mills into homes.
Mr Sweeney said: "Our research suggests that Yorkshire's first-time buyer population will rise by about 24,000 by 2005.
"This means the Yorkshire region is in need of about 11,000 new homes to satisfy demand."
He said research also suggested that about 28% of adult non-homeowners in Yorkshire intended to buy their first home this year.
"Demand in the region is extremely strong - especially for the kind of affordable and stylish housing in which we specialise," said Mr Sweeney.
"We chose Meltham because it is a desirable up-and-coming area perfect for the range of houses we are going to build.
"Meltham is an attractive town close to Huddersfield and ideal for commuting to the major centres of Leeds and Manchester as well as Huddersfield, Bradford and Halifax."
Building work at Sunnybank Mills was due to begin earlier this year - but development was delayed after fire tore through one of the mill buildings last November.
That structure - which was due to house 13 apartments - had to be demolished and a new planning application submitted.
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