Housing provider NomadE5, picked up the Housing Corporation Gold Award at a special awards ceremony in London, for its work in transforming the area.

Sir Duncan Michael, chairman of the judging panel, praised the company for securing the national award and for delivering the development.

He said: "The innovative programme of community involvement and the ability to have close working relations with a range of partners has turned around the fortunes of a community. This has made it worthy of being a Gold Award winner."

In recent years, Cleadon Park had become blighted by high levels of crime and anti-social behaviour with scores of empty and abandoned properties.

However, it is now being transformed as part of a £90m redevelopment scheme plus hard work and innovation by the Cleadon Park Community Partnership, involving local residents, NomadE5, Bellway Homes and South Tyneside Council.

Alison Stanners, managing director of NomadE5, said: "The partnership is committed to creating a distinctive place which is recognised for high quality and visionary design, and meets the aspirations of local people as a place they want to live.

"We're delighted that the partnership approach taken at Cleadon Park has been recognised as outstanding.

"Our efforts have truly turned around this once-declining area into a thriving community.

"Having almost completed the re-housing of former residents, work on phase three is about to start and will provide another 40 high-quality affordable homes for local people, alongside 65 new homes for sale via our partners Bellway Homes."

Keith Loraine, group chief executive of Isos, the housing group NomadE5 belongs to, said, "It's fantastic news that all of the hard work and dedication by local people and the partners has been recognised.

"It confirms the regeneration programme is one of the best in England.

"The partnership is rightly proud to receive this most coveted award, considered to be the housing equivalent of the Oscars."

Coun Michael Clare, lead member environment, housing and transport, added: "The council is committed to regeneration and building an even better future for the borough and all its residents.

"We look forward to achieving even more awards in the future. This award proves what we have always said – South Tyneside is at the leading edge of regeneration."