Develop North PLC funds first phase of landmark Kelly’s Wharf regeneration project in Hebburn
Jul 21 2026
Develop North PLC (Develop North), the North East-based investment company, has provided a £1.95 million funding facility to unlock the first phase of Kelly’s Wharf, a landmark riverside regeneration that will transform the historic former Hawthorn Leslie Shipyard in Hebburn into a thriving new residential community
The 18-month facility provided to Hebburn Riverside Development Ltd, the specialist brownfield regeneration company, delivers the funding required to commence construction of the first nine executive family homes.
The wider regeneration has been identified by South Tyneside Council as its leading private sector strategic housing priority, reflecting the importance of bringing one of the borough’s most significant brownfield sites back into productive use while delivering much-needed high-quality homes.
While the first phase comprises nine homes, it represents the catalyst for a much larger vision that will regenerate one of Tyneside’s most historically significant riverside sites. The scheme will create a vibrant mixed-use community with planning consent for more than 440 homes across future phases, together with commercial space, extensive landscaping and public realm improvements.
Reflecting the regional focus of the scheme, the wider project team has been assembled predominantly from North East businesses, with local contractors, consultants and specialist suppliers playing a central role in bringing Kelly’s Wharf forward. The investment will therefore support regional businesses and skilled jobs alongside the delivery of much-needed new homes.
The first nine properties, which are being built by North East-based contractor Oakley Homes, will establish the architectural quality and character of Kelly’s Wharf, comprising three-storey executive family homes overlooking the River Tyne.
Each will feature four double bedrooms, a first-floor lounge opening onto a full-width riverside balcony, Porcelanosa kitchens and bathrooms, air source water heating, solar PV panels, dual electric vehicle charging points and generous 18-metre gardens extending to the river’s edge.
The wider masterplan has been designed to celebrate the site’s remarkable industrial heritage while creating a distinctive new riverside destination for South Tyneside. Alongside a range of high-quality homes, future phases will incorporate a day nursery, neighbourhood shop, coffee shop and cycle shop, together with significant landscaping, the restoration of the historic jetty and high-quality public realm and open space.
The development will also preserve and celebrate the legacy of the famous vessels built at the yard, including HMS Kelly, commanded by King Charles’ Great Uncle, Lord Louis Mountbatten, during the Second World War, and SS Tilawa, often referred to as the ‘Indian Titanic’, ensuring the site’s rich maritime history remains woven into the new community.
Michelle Percy, Chief Executive of Develop North PLC, said: “Kelly’s Wharf is exactly the type of development Develop North exists to support. It combines the regeneration of an important brownfield site with the delivery of high-quality new homes, investment into the regional economy and the creation of a lasting legacy for the local community.
“Backing experienced regional developers with a proven track record of delivering complex regeneration projects is central to our investment strategy. By providing flexible development finance, we can help unlock schemes that regenerate challenging sites, accelerate housing delivery and create long-term economic value across the North.
“This investment is about far more than funding the construction of the first nine homes. It is enabling the wider transformation of one of the North East’s most significant historic riverside sites while supporting local businesses, regional expertise and the creation of a vibrant new community.”
Mark Russell, Co-Director Hebburn Riverside Development Ltd, said: “We’ve spent several years bringing Kelly’s Wharf to this point and seeing construction underway is an incredibly proud moment for everyone involved. While this first phase delivers nine exceptional riverside homes, its significance goes much further. These homes establish the gateway to Kelly’s Wharf and unlock the future delivery of the wider regeneration.
“Our ambition has always been to create a landscape-led riverside community that respects the extraordinary history of the site while delivering the high-quality homes South Tyneside needs. For many local families this site holds generations of memories, so it’s immensely rewarding to see it beginning a new chapter.”
Barry Holmes, Co-Director Hebburn Riverside Development Ltd, added: “Develop North’s support has enabled us to move confidently into construction and establish the quality and character that will define every future phase of Kelly’s Wharf.
“This investment is about far more than funding the first nine homes. It unlocks the wider regeneration of an iconic riverside site and allows us to begin transforming land that has stood dormant for decades into a thriving new community.”
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