CONCERNS over the building of a 925-home estate have been allayed following the appointment of a contractor to replace a collapsed building firm.

Northallerton-based Moody Construction has taken over responsibility for the first phase of Mulberry Homes Yorkshire's Sowerby Gateway scheme on the outskirts of Thirsk.

Work on the The Oaks part of scheme was suspended after the original contractor Southdale unexpectedly went into administration in May, leaving buyers facing uncertain delays before they could move to the site, which will also feature a commercial estate, a school and a 1,739sq metre Aldi store.

In the first phase, which will eventually see 107 homes built, 29 homes have been sold or allocated for social rent, with a further nine having been reserved and awaiting completion.

Southdale went bust amid mounting criticism about the quality of work on the estate and it is understood Moody has moved quickly to rectify outstanding issues on properties that had already been sold.

Moody Construction director James Moody said he was determined to create high quality homes that surpassed expectations.

He said: "Although it can be challenging taking over any construction project in these circumstances, the pro-active approach from both the clients and our team have ensured that the project is now back on track and the site is a hive of activity.

“Moody’s have been delivering high quality developments, including constructing new homes for nearly a century and we know that The Oaks development will be another prestigious project to add to our proud history.”

Sowerby councillor and Hambleton District Council leader Mark Robson said he was delighted the building contract had been awarded to a local firm.

He said: "Hopefully now we will see some proper progress on the site."

Mulberry Homes director Paul Lightfoot said it had acted rapidly to get the building work restarted.

He added: “We would like to thank current residents and people who have already reserved homes for their patience.”

Southdale's collapse came as a blow to the scheme, weeks after developers Mulberry Homes struck a multi-million pound deal with major housebuilding firms, which could see a £7.5m road junction scheme completed by the autumn.

It is understood negotiations between the council and the developer are set to take place over the number of properties that can be sold before the junction is finished, ahead of a planning application to change the planning condition, which was seen as vital to avert traffic issues in the area.