A multi-million pound flagship redevelopment plan has been unveiled for a North-East town.

Tees Valley Regeneration and PD Ports, Logistics and Shipping have jointly submitted plans to Hartlepool Borough Council for a £500m transformation of the town's Victoria Harbour.

About 200 acres of waterfront north of the Marina will disappear under thousands of new houses, a new school, leisure, business and retail facilities.

Landscaped open space, a coastal walkway and an innovative pedestrian and cycle bridge are all planned for the site; land owned by PD Ports, Logistics and Shipping.

Joe Docherty, chief executive of Tees Valley Regeneration said: "This is a stunning masterplan and one which will embrace the whole of Hartlepool. Eventually Victoria Harbour will become a showpiece project for the Tees Valley and the North East region. We have already undertaken extensive consultation with the community and have received very positive and constructive feedback."

Redevelopment will be phased over 20 years and will include up to 3,500 new homes. Work will start next year on the first phase, which is planned to deliver more than 750 homes over the next five years.

Hartlepool MP Peter Mandelson said: "This development is a major opportunity for Hartlepool, and especially for the Headland. Naturally it will come in stages and will make a huge contribution to Hartlepool's regeneration."

Margaret Fay, chairman, One NorthEast, added: "This submission moves us a step closer to realising our vision for Hartlepool.''