Blackpool Council has chosen the housing regeneration specialist to create a new neighbourhood on the town’s Queens Park housing estate.
The scheme will see 198 houses and apartments built on the estate over six years, replacing five tower blocks and other existing homes.
Construction work is expected to start in summer 2013.
180 of the homes will be managed by Blackpool Coastal Housing for the council, with 18 for open market sale by Lovell.
Residents have been offered the opportunity to move into the new homes, and the scheme is expected to provide construction apprenticeship opportunities.
Lovell will join up with the Blackpool Build Up project, which aims to find jobs and training placements for local unemployed people.
108 two, three and four bedroom houses will be built, along with 90 apartments.
60 of the apartments have been designed to convert to 30 family homes at a later date.
The development is made up of a series of formal urban squares with trees set to mark a pedestrian route.
It will also be ‘tenure blind’, with homes built from the same range of materials whether they are affordable or for sale.
Councillor Gillian Campbell, cabinet member for housing and public protection, said: “I’m delighted that the Lovell plans have been chosen for the new Queens Park. We’ve worked closely with existing tenants to help shape the designs and to create a new estate that will help build on the existing community.
“The skyline of Blackpool will change forever when the tower blocks are demolished but these plans show a much brighter future where people will be living in good quality accommodation. No longer will there be drafty windows and inadequate heating, families will be able to live in properties that will improve their health and help them to prosper.
“The development will also offer job opportunities for local traders and apprentices which are much needed in the current climate.”
Lovell regional director Nigel Yates said: “We are proud to have been chosen as preferred developer for the new Queens Park. We believe it will set a new standard for well-designed housing in Blackpool, providing superb, contemporary homes for existing residents as well as attracting new people to the area.”