The biggest regeneration scheme in the district has taken a leap forward with the University of Bradford signing an historic agreement with a Middle Eastern-backed developer.

The landmark scheme will create a 1,000-bed Sustainable Student Village in the Listerhills area of Bradford.

University chiefs and the Hayat Developments Group put pen to paper yesterday on a ‘Heads of Terms’ contract to agree the overall design, development and operation of the village.

The £150m project is regarded as the “building block” for a scheme to create a £750,000m Learning Quarter in the city.

University Vice-Chancellor Mark Cleary said he was delighted the deal incorporated design concepts that will reduce the overall environmental impact of the development.

After signing the contract, he said: “As part of the wider ‘ecoversity’ initiative, which is intended to promote sustainability throughout all aspects of the university’s life, it will put the university on the map.

“This marks the first step and the building block of a wider set of regeneration projects around the Learning Quarter. This signing demonstrates the commitment of the university to the regeneration projects in the city.”

Sheila Dean, of Hayat Developments, said: “It’s great to see something coming to fruition, especially in this economic climate. It’s going to be great for Bradford.”

Councillor Adrian Naylor said: “This is yet more evidence of the private sector being confident in Bradford and seeing it as a place where they can do business.

“The first phase of the development at £150m is part of an overall project worth £750m, which is the biggest scheme in our long-term vision of transforming the city to represent Bradford in the 21st century.”

Coun Naylor pointed out the Learning Quarter initiative was three times the size of Westfield’s shopping scheme on Broadway.

Mi7 Developments, the project management company for the Hayat Group, is working in partnership with the university to deliver the development.

Mohammed Ishtiaq, of Mi7, said, “The signing is the culmination of three years of preparation, planning and negotiation, and highlights the long term partnership on this scheme.

“It has been arduous but exciting. We look forward to a long and fruitful relationship with the university.”

Maud Marshall, chief executive of Bradford Centre Regeneration, said: “We are thrilled with this partnership. This scheme, made possible with Middle East investment, will contribute to the regeneration of the city and our vision to create a thriving and prosperous future.”

Jan Anderson, of Yorkshire Forward said: “This scheme is fully in line with the environmental aspirations of the city, and will set a precedent for other developers in the region to follow.”