About 55 jobs will be created when building work starts next year on the site of a former North-East hospital.

House builder Barratts, which has bought the former Middlesbrough General Hospital, plans to build 329 one and two-bedroomed apartments, and two, three and four-bedroom houses on the site as part of a £36m development.

Mike Cuthbertson, a partner with property consultants Lamb and Edge who marketed the site with Inventures on behalf of South Tees Hospital NHS Trust, said the size and location of the hospital site attracted interest from developers through the country.

He said: "Good, central brownfield sites of this size are a real rarity. We knew it would be particularly attractive to residential developers, but we were delighted by the quality and quantity of national interest in the sale.

"Barratts' proposals are designed to bring significant new life to this area, and will undoubtedly help with the regeneration of Middlesbrough as a whole."

John Richards, managing director of Barratt Newcastle, said: "As industry leaders in brownfield redevelopment we have the experience and skills to exploit opportunities such as this site and to overcome technical and environmental challenges, meaning we can often make land work where others cannot."