About 25% of the 500 new homes will be affordable

The release of 18 acres of redundant land and old buildings could be a significant economic boost for the Devonport area of Plymouth.

English Partnerships has bought the Stores Enclave site from the Ministry of Defence (MoD) for �5m.

About 500 new homes are planned, together with a healthcare centre, supermarket, shops and offices.

It's great news for the residents of Devonport who've waited a long time to see it returned to the heart of the community where it belongs David Warburton, English Partnerships

English Partnership, the government regeneration agency, says 25% of the 500 high-quality homes will be affordable to enable local people to benefit from either shared ownership or socially rented homes.

The wall surrounding the enclave will be demolished in stages as regeneration of the area progressed.

The wall was built as the Royal Navy dockyard expanded in the early 1960s.

However, Devonport's historic market hall, sandwiched between empty naval stores, will be retained and a new public square created.

The wall surrounding the market hall will be demolished

Dave Brown, from the Devonport Regeneration Company, said to have the area given back to the community after 50 years was amazing.

He said: "A lot of the older residents can still remember when they used to come here and use the area as a market and buy the first strawberries and vegetables of the season.

"It's a focal point for them, so it's very significant."

David Warburton, an area director for English Partnerships, said the local community in Devonport deserved credit for their enthusiasm and commitment to the scheme.

He said: "We're absolutely delighted to be the new owners of the Stores Enclave site.

"It's great news for the residents of Devonport who've waited a long time to see it returned to the heart of the community where it belongs."