The Union Village regeneration scheme

For over 20 years, the Union Village area had faced deep‑rooted social challenges, high levels of crime and anti‑social behaviour, and large areas of derelict land left behind after industrial decline.

In this case study, Thirteen Housing Group explains how, by working in partnership with Middlesbrough Council and the Tees Valley Combined Authority, they created high‑quality homes, strengthened community resilience and supported long‑term economic growth.

What prompted you to start this project?

A neighbourhood shaped by industrial decline

Decades of job losses in steel and shipbuilding left Middlesbrough with poor quality housing and abandoned streets. Approximately 600 Victorian terraced homes were demolished and £50m was spent as part of the housing market renewal programme in the early 2000s.

The land remained empty for years, becoming a hotspot for crime and antisocial behaviour (ASB). Despite efforts to work with local private developers, the council was unable to attract bids to develop the land. A partnership approach was needed to de-risk the project because it was unviable as a commercial venture by one developer.
£50m of public money had already been spent on the project, so it was vital to protect this investment and work with partners to deliver a sustainable scheme.

Data highlighting urgent need

Our insight work showed clear warning signs:

Far more renters than homeowners lived in Gresham, with most in private rented accommodation.
Over 21,000 people in the wider area were economically inactive, and almost 10,000 were students.
Across the Tees Valley, around 13,000 households were waiting for a home.
Key indicators were rising: in early 2020, there were 324 fly‑tipping reports, 523 ASB incidents and 814 crime reports.

Gresham had been a priority area for over 20 years, and the £30m Union Village scheme required a combined physical and social regeneration approach to mitigate risks and deliver sustainable change.

Despite the challenges around low rental income and severe deprivation, as an anchor institution in Tees Valley, we remained committed to our vision of transformation. The economic strategy for Middlesbrough town centre is to regenerate unused space. As such, we felt an obligation to the regeneration and economic development of the area. We stood by our objectives and worked closely with partners such as Homes England, Tees Valley Combined Authority and Middlesbrough Council to ensure there were no compromises on design, and that we could create a community to be proud of.

What steps did you take to get the regeneration scheme underway?

Regeneration is a marathon, not a sprint. It was important to everyone to do it right and not to jeopardise the success of the project by rushing to put a scheme back in. We had to ensure our board was fully bought in to the project. Working in partnership with Homes England, the local authority, the police, and the combined authority was essential to make delivery feasible.

We made use of a Homes England grant, and brownfield development funding from the combined authority, but still had a £3 million gap in capital funding. We were led by our values and commitment to the region. For the first time ever, our board agreed to go beyond our iron-clad golden rules for development investment in order to deliver what was needed to unlock the remaining amount.

It was vital to ensure the board was satisfied and bought in every step of the way. We set up a task and finish group with board members, produced quarterly dedicated reports on the scheme covering construction, collaboration and social impact. Having forensic and intensive scrutiny of the scheme and progress was essential to bring everyone along together on such a vital project.

A new community‑led model

We created a structured Community Connector framework and a series of locality plans for 2020–2025. This involved:

Gathering data and mapping community assets.
Consulting with customers and partners.
Setting shared KPIs and resources.
Developing joint action plans.
Reviewing our progress each year.

The locality plans gave us a clear way to coordinate activity across Gresham and five neighbouring areas.

A strong partnership foundation

In 2020, we signed a legally binding Cooperation Agreement (2020-2026) with key agencies. We set up thematic groups focused on issues such as drugs and sex working and worked collaboratively on enforcement, diversionary activities and the development of a local lettings policy. This gave the work clear governance and accountability.

Our Union Village scheme was also backed by the Middlesbrough Development Corporation, established by the Tees Valley Mayor, which will be delivering the next phase of development. We will continue working closely together to ensure Gresham remains a thriving community.

Designing a place for customers to be proud of

We drew inspiration from nationally recognised inner‑city housing schemes, including Goldsmith Street in Norwich. These designs aimed to address some of the anti-social behaviour in the area and create a space which felt safe and community focused. Working with our architects, we looked at:

Perimeter‑block layouts that create safe, overlooked streets.
Tenure‑blind design to shape positive behaviour and community cohesion.
Private gardens complemented by safe, semi‑private communal gardens.
Secured by Design principles to reduce crime opportunities.

These actions collectively kick‑started the change: a clear design vision informed by best practice, early behavioural expectations, a strong safety‑led layout, and a commitment to long‑term stewardship from Thirteen and partners.

A new identity for Gresham

With support from local historian Dr Tosh Warwick, we explored the area’s rich heritage. The name Union Village reflects the coming together of different communities, cultures and long‑standing partnerships.
Local priorities in lettings

We created a Local Lettings Policy with Middlesbrough Council. This allowed us to prioritise key workers, graduates, full‑time carers and people whose disability prevents them from working; supporting local talent retention and ensuring fairness.

Who have you engaged with?

Union Village was delivered in partnership with Tees Valley Combined Authority, Middlesbrough Council and Esh Construction. The development received support from Home England’s Affordable Homes Programme and the government’s Brownfield Fund.

Across Gresham and the other locality areas, we worked closely with Cleveland Police and neighbourhood wardens, as well as local schools, youth groups and residents. We also engaged with voluntary, community and social enterprise organisations, such as Friends of Newport Hub, MFC Foundation, Pioneering Care Partnership and Streets Ahead.

Monthly resident meetings, pre‑tenancy expectations meetings and the Friends of Union Village group helped us build early community cohesion
Strong, trusted, relationships have been key to the successful delivery of the regeneration of the site. It is through partnership working with the police and the mayoral development corporation that we were able to protect and maximise some of the investment and benefits of the project through tackling some of the issues caused by extreme deprivation, crime and anti-social behaviour in surrounding areas that would have otherwise de-railed it. The combined authority’s buy in, commitment and funding is vital to regenerate the surrounding areas. The physical regeneration is just the first step. Sustainability matters just as much for the project’s long-term success.

A carefully constructed letting agreement with the local authority for the first lettings has also been vital, to give the site the best chance of success. The pre-tenancy checks are intentionally extremely rigorous, to ensure that while the site may be providing homes for people from all walks of life, we are ensuring community cohesion and not placing extremely vulnerable people with complex issues together in one place.

The continuing relationship with the local authority and the combined authority is integral to keeping this on track – ensuring that the site and its surrounding areas remain a priority for any investment funds or initiatives. Investments need to complement and support the regeneration of this development. We may have gone in first as the pioneering organisation, but the biggest challenge lies ahead, and everyone has a vital part to play in ensuring a sustainable, stable community.

What challenges did you face?

Building during a pandemic

Covid‑19 caused delays, material shortages and design amendments. Through regular partnership meetings with our principal contractor and strong problem‑solving, we overcame each issue and completed only slightly later than planned, whilst remaining within the contractually completion timeframes.

Community tensions and national attention

Gresham has hosted a significant number of asylum seekers and was one of the areas impacted during the 2024 national riots. Despite this, we remained committed to supporting everyone in the community and ensuring people felt safe in their homes. We were able to secure an enhanced level of wardens and community safety officers as part of the collaboration agreement with our local areas manager. We have worked closely with all agencies including the police and we have joint operations and share regular updates with one another. It is important to all of us that the site succeeds.

Managing shared communal gardens

With four large courtyards, there was a risk of ASB or neighbour disputes. We addressed this by setting up a risk mitigation group and:

Co‑designing a good neighbour agreement, putting ownership on residents to care for the shared spaces.
Running pre‑tenancy events to set clear expectations ahead of sign-ups.
Appointing a dedicated Community Connector.
Creating resident‑led garden ideas and litter‑picking groups.

Long‑term sustainability

We recognised the need to sustain improvements for the long term. As a result, locality plans and resources will continue for at least two more years.

What has the impact been so far?

We welcomed our first customers in February 2025 and despite challenges faced, there was an absolute determination to make this happen from all the partners involved.

Stronger, safer neighbourhoods

Between 2020 and 2025, the impact in Gresham has been vast:

Fly‑tipping reports have gone down by 65%.
ASB police reports have gone down by 83%.
Crime reports have gone down by 64%.

More stable tenancies

Demand for Gresham has been high throughout the build and our year three evaluations demonstrated:

Reduced turnover from 9% to 4.5%.
Arrears dropped from 4% to 2.9%.

Building community connections

Monthly meetings, shared garden events and new resident networks are helping shape a positive, community‑led culture.

Delivering social value

With contractor Esh, we developed a combined social plan for Gresham and Grove Hill. This combined plan delivered:

£4.9m social and local economic value.
10 local jobs.
511 apprenticeship weeks.
£80k donations.
616 volunteer hours.
437 climate‑training hours for SMEs.

Our Union Village shows what’s possible when partners share a clear vision and stay committed. Together, we’ve created a safe, modern and welcoming neighbourhood and a foundation for long term community growth. But there are thousands of terraced properties across Middlesbrough and many more in other northern cities and towns which are in a poor state. There is huge potential for further successful regeneration projects given the right funding.

Regeneration only succeeds when physical change goes hand‑in‑hand with social investment. Co‑production, strong partnerships and clear expectations, as well as early engagement with residents, create long‑lasting impact.

To ensure Union Village's ongoing success, we will: