Apr 6 2009 by Our Correspondent, Liverpool Echo

A DERELICT site in Merseyside is to be transformed with ?2.9m of government funding.

The former tannery site in Bootle, which looks out over the Leeds and Liverpool Canal, will be cleaned up so houses can be built on it.

Residents of the Klondyke estate will benefit because they will be given the new homes as part of a wider regeneration scheme.

The site was contaminated by its use as a tannery and needs major work to bring it back to use.

The Homes and Communities Agency has earmarked ?2.9m and has just signed an agreement with Sefton council to enable the work to be carried out.

The extensive clean-up will include emptying and removing underground tanks once used for tanning leather.

Work will start on revamping the 3.5- acre site this summer and take around nine months to complete.

The site will then be developed as a mixture of 57 modern homes for sale and rent by Bellway Homes and their RSL partner Adactus.

It will provide housing for residents of the Klondyke who are waiting to move as part of the programme.