The firms will now begin work on a pre-development phase for the former brewery site, which is uniquely positioned on the Union Canal, including finalising designs, preparing for construction and selecting a net-zero energy solution for the site, ahead of the full development which is due to start next year.

Cruden Homes and Buccleuch Property will work with partners 7N Architects, Etive Consulting Engineers, and environmental design consultants, Atelier Ten on the development.

The Fountainbridge masterplan includes a total of 436 new homes, including 113 affordable homes for social rent, 10% of which are wheelchair accessible, 64 homes for mid-market rent and 259 homes for private sale or rent.

In addition to the residential element, the site will include shops, social enterprise, and community spaces with high quality public realm provision. It will also feature a 100,000 square foot office building which will provide space for early-stage tech companies to ‘scale up’.

Steven Simpson, managing director of Cruden Homes (East) Ltd, said: “We are delighted to be announced as preferred developer to regenerate Fountainbridge and to continue our strong working relationship with the City of Edinburgh Council on such a transformative development for both the neighbourhood and for Scotland’s capital.

“We share the council’s vision of building something very special here and we look forward to working with the community to finalise plans to provide sustainable and energy-efficient new homes and a wealth of associated amenities. Importantly, we will bring a number of community benefits, including supporting community groups and providing jobs and training for local people, which will help create a vibrant future for this part of our city.”

Councillor Rob Munn, finance and resource convener, said: “We welcome the appointment of Cruden Homes today for the pre-development phase of our flagship regeneration Fountainbridge project following an extensive procurement process and important discussions and scrutiny at committee today.  

“We believe, with Cruden Homes, we have a partner that shares our vision for the site while also offering us best value and one with great experience of delivering large scale mixed use developments and proven track record in relation to construction of affordable housing.

“Seeing our masterplan getting closer to becoming a reality is very exciting and we couldn’t have got to this stage without the extensive programme of community consultation and regular engagement on proposals. We hope this continues, particularly through conversation with the Fountainbridge Sounding Board, a forum bringing together the area’s key stakeholders.  

“This development will bring a great revitalising feel to this area of the city and through the community benefits programme we have agreed as part of this development contract we also hope to bring new jobs and training opportunities for local people, offer opportunities for local artists while also enhancing existing public spaces in and around Fountainbridge.”

Nick Waugh, commercial property director of Buccleuch Property, said: “The opportunity this development brings the local community and wider city is hugely meaningful, particularly at this time. We will be focused on delivering workspace to facilitate entrepreneurs and business start-ups, as well as helping consolidate Edinburgh at the forefront of the tech space sector.”