Developers who are building hundreds of new homes in Horsforth will invest more than £6 million into local services.
Redrow will pay the money in community contributions for the scheme at the former Clariant works.
The development, of around 330 homes, was given planning permission in April last year. Construction work on the site began this month and Redrow hopes to launch sales by Easter.
Its community contributions, which form part of the planning process, include funding for education, public transport, footpath and highways works, improvements to sports fields and pavilion, plus the creation of a new play area and allotments.
John Grime, managing director for Redrow Homes (Yorkshire), said: “Redrow is making a significant investment in the area including community contributions worth more than £6 million, which will benefit those who already live in the neighbourhood as well as the people who buy our new homes.
“The development will also have a positive impact on the local economy with industry statistics showing that 1.5 full time jobs are created for every home built – and that’s not including jobs in the supply chain.”
The development, which will be known as Horsforth Vale, will include homes ranging from two-bedroomed to five-bedroomed houses.
Community contributions will include £1.76 million in a new bus service to link the homes to the local train station, plus a further £33,000 to provide additional bus stops. Metrocards will be provided to homeowners, on a first come first served basis, at a cost of £168,000 to the developer.
The Clariant scheme, along with an adjoining housing development at the Riverside site sparked a campaign of opposition when it was put forward. Opponents warned of a devastating impact on services and the dangers from increased traffic.
An appeal was made to Community Secretary Eric Pickles to intervene. But the schemes were given the go-ahead last year by a planning inspector.