The government has given the go-ahead for a £113 million, 25-year regeneration project in Manchester.
The Homes and Communities Agency gave Manchester City Council permission to choose a contractor for the scheme to redevelop the Brunswick district.
The council will evaluate final bids from both Fern and Solutions 4 Brunswick before selecting a preferred bidder later this year.
More than 650 council homes will enjoy extensive refurbishments under the project, while up to 500 new homes will be built for rent or sale.
The neighbourhood will be redesigned with new road layouts and safe open spaces.
A new retail area will provide shops and amenities, and there will be a neighbourhood office and a 60-bed sheltered accommodation facility.
Councillor Jim Battle said: “This announcement takes us a step closer to a new Brunswick.
“We have a fantastic community here that will no doubt continue to prosper as the regeneration plans come to fruition.
“Being so close to the city centre, coupled with the promise of new homes and an improved neighbourhood layout, I can see a bright future for Brunswick.”