Gateshead’s Baltic Quarter takes step forward with new partnership agreement
Ambitious plans to deliver new homes and offices on Baltic Quarter in Gateshead have taken a major step forward, following the signing of a Pre-Development Agreement with Muse Places, supported by supply chain partners ECF.
The plans would create a new neighbourhood with around 1,600 homes, as well as new places to work, shop, eat, relax and spend time as a community.
ECF, a partnership between Homes England, L&G and Muse, will now work with Gateshead Council to help shape the future of the Baltic Quarter, including funding and how it will be delivered over time. The area sits at the heart of the Council’s regeneration strategy, launched in September 2025.
The work will look at how the area could be brought forward to include new homes, places to work, and spaces to spend time, alongside new landscaping, routes and infrastructure.
With the Baltic Quarter already home to a thriving community of businesses, as well as the Gateshead College campus and the Northern Design Centre, the ambition is to build on this success – helping existing businesses and skilled workers stay and thrive, while attracting further world-class talent to Gateshead and Newcastle.
The plans being shaped by the council and its partners will complement the existing community, introducing new public spaces and around 1,600 new homes.
These will be supported by shops, restaurants and other leisure facilities, helping to bring more people into the area and supporting the attraction and retention of talent across Newcastle and Gateshead.
This is the latest step forward for the area, following the recent opening of a 1,000-space car park, which has capacity to charge hundreds of electric vehicles in the future. The area’s sustainability credentials are further strengthened by the District Energy Network, which supplies current and future buildings with power and heat from the UK’s largest urban solar farm and naturally warmed mine water.
Councillor Martin Gannon, Leader of Gateshead Council, said: “Gateshead has always been a place of strength, pride and ambition – a place that gets things done, and can deliver regeneration as we did with the Glasshouse (Sage Gateshead) and BALTIC 25 years ago.
“This new agreement, working with a respected industry partner like Muse and ECF is testament to that and demonstrates our proactive approach to regenerating our neighbourhoods for the future.
“The Baltic Quarter is a key project for the Council and one we believe can have a transformational impact on the whole of the borough.
“The site offers the potential to deliver over 1,600 new homes, both affordable and for market sale, new office space for businesses, as well as high quality public spaces and improved links with nearby neighbourhoods, our town centre and the Quays.
“We believe it will be a fantastic shop window for Gateshead, attracting potential future investors.”
ECF brings together Homes England’s ambition to deliver more affordable housing, L&G’s proficiency and experience investing in real estate and infrastructure, and Muse’s expertise delivering urban regeneration.
Together, ECF has a strong track record of delivering complex and award-winning urban regeneration across the country.
Sir Michael Lyons, Chair of ECF, added: “The Baltic Quarter already has a vibrant community and we look forward to working with Gateshead Council to bring their wider vision for the area to life.
“Following the signing of the Pre-Development Agreement, we will now work with the council and other stakeholders to shape the plans to support the delivery of this exciting opportunity.
“Gateshead Council’s wider regeneration vision is a perfect example of how UK towns and cities can use their industrial heritage to support not just today’s plans but tomorrow’s ambitions, and the generations to come.”
The Pre-Development Agreement was made possible through the Developer-Led Framework which Pagabo manage on behalf of Cumbria, Northumberland, Tyne and Wear NHS Trust.
Jonathan Parker, Development Director at Pagabo, said: “This appointment demonstrates how a robust and transparent procurement process can support ambitious regeneration outcomes. By using The Developer Led Framework, Gateshead Council was able to move at pace while maintaining flexibility, certainty and compliance, ensuring the right development partner was selected to help realise the long-term vision for the Baltic Quarter.
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