Wavensmere Homes Starts Work at £150m Wolverhampton Canalside South
Released: 13 February 2025
Wavensmere Homes has commenced work on site to redevelop 17.5-acres of former industrial land in Wolverhampton city centre into the £150m Canalside South scheme. Having lain derelict for 15 years, the brownfield site will be transformed into over 530 energy-efficient homes, complemented by a range of new commercial and community amenities.
Established through a partnership between City of Wolverhampton Council and the Canal & River Trust, the site is located off Qualcast Road, just moments from the transport interchange. Benefiting from a prime waterside position, it enjoys frontage onto both the Wyrley & Essington Canal and the Wolverhampton Branch of the Birmingham Main Line Canal.
Site enabling works are underway, with groundworks scheduled to commence in Q2 2025. The development will be delivered in three phases – progressing sequentially from east to west – to minimise disruption to the surrounding community, and support the timely delivery of essential infrastructure and amenities.
Phase one will comprise 153 contemporary two- and three-bedroom houses, with completion scheduled for Q2 2027. Access to the first two phases will be provided via Qualcast Road, which will function as the primary Spine Road, seamlessly connecting all secondary routes within the development. Phase three will be accessed via Bailey Street and fully integrated into the wider road network, ensuring efficient traffic flow throughout the site and surrounding areas.
The full regeneration and build programme is projected to complete by the end of Q3 2031.
James Dickens, Managing Director of Wavensmere Homes, said: “Having received confirmation of £20m of development funding from the West Midlands Combined Authority and Frontier Development Capital only last week, we are thrilled to be demonstrating our focus on deliverability by starting work at Canalside South immediately. With Wavensmere’s proud history of regenerating vacant land in the Black Country, we have mobilised our local and regional supply chain and will transform this current eyesore into a landmark development we can all be immensely proud of.”
Pat McFadden, MP for Wolverhampton South East said: “It was great to visit and see work getting underway at the former British Steel and Crane Foundry site in Horsley Fields, which has been lying vacant for over 15 years. This redevelopment will revitalise our city centre, while creating hundreds of jobs and giving a major boost to the local economy, now and in the future."
The former British Steel site was a regional distribution and stockholding centre which has stood empty since the collapse of British Steel in 2019. Cllr Stephen Simkins, Leader of City of Wolverhampton Council, said: “Seeing this impressive scheme get on site is monumental and shows the game-changing regeneration the council and its partners are delivering in Wolverhampton. As part of our brownfield first strategy, bringing life back to the redundant sites along our canal network is critical to boosting footfall into our city centre and building communities.
“The decision to put our faith in Wavensmere Homes has paid off with one of the largest new housing developments in the Midlands and the hundreds of jobs for local people that come with it. Ultimately, this £150m development will enable Wolverhampton residents to benefit from superb connectivity, amenities, and health and wellbeing opportunities at this wonderful heritage location.”
Richard Parker, Mayor of the West Midlands, said: “Wolverhampton desperately needs more homes and getting spades in the ground on Canalside South is part of the solution to that. It's also why I have invested £20m into the scheme. But it's more than just bricks and mortar, it's about creating a thriving new community and shaping a bright future for the city. And it will provide more than a hundred affordable homes for local people, a key priority for me in tackling the region's housing crisis."
Canalside South is one of the biggest regeneration projects of its kind in the region. The overall vision for the Wolverhampton Canalside masterplan is the delivery of around 1,000 homes to meet both the city and wider region’s housing needs, with sustainability and place-making at its heart.
Designed by Glancy Nicholls Architects, the low-rise development will emulate the surrounding conservation area and maximise the canalside setting. The scheme will include seven acres of vibrant green space and open up a new pedestrian route to the city core – reducing the previous walk time by 20 minutes – and igniting new investment into a commercial corridor.
There will be a total of 378 two-and three-bedroom townhouses, designed to target an EPC-A rated specification, together with 145 one-and two-bedroom apartments. A building of 10 co-living units – each containing six bedrooms – will deliver affordable living typologies to young professionals. 54 houses, together with 80 apartment and co-living bedrooms will benefit from waterside views. The multi-award-winning urban regeneration specialist will also be reanimating the disused railway arches on the site into 1,338sqm (14,400 sq ft) of lettable commercial space.
Wavensmere Homes will future-proof the new homes by installing electric only heating systems. A range of technologies will be utilised across the development, consisting of air source heat pumps, solar panels and mechanical ventilation with heat recovery (MVHR). There will also be EV charging to each house or parking space, alongside an array of EV chargers for visitors.
Birmingham-headquartered Wavensmere Homes has 3,500 homes on site, or currently in planning. The firm is in the final phase of the £175m Nightingale Quarter, which is the redevelopment of the former Derbyshire Royal Infirmary into 925 energy-efficient houses, apartments, and community amenities. The company is constructing five other major brownfield regeneration schemes, located in central Birmingham, Derby, Cheltenham, and Ipswich, and has further projects in the immediate pipeline.
View the plans