The £17m Treadmills project is set to start in spring 2019 after Hambleton District Council’s planning committee gave the green light.
The plans were submitted by the Central Northallerton Development Company (CNDC), which is a joint venture between Hambleton District Council and developers Wykeland Group.
The development features retail, residential, leisure and office space as well as a large public square. It also incorporates five Grade II listed buildings which were retained when the remainder of the prison site was demolished.
Northallerton Prison housed prisoners for more than 230 years before closing in 2013. Hambleton District Council bought the site from the Ministry of Justice in 2014. The council signed a development agreement with Wykeland Group in 2017.
Chairman of the CNDC Board, District Councillor Peter Wilkinson, said planning approval means work on the project will start in the spring of 2019.
“This is a very exciting project not just for Northallerton but for the area as a whole,” said district councillor Peter Wilkinson, who is chairman of the CNDC board. “It will generate more activity in the town centre with people coming to visit the shops and enjoy the leisure experience we will offer through the restaurants and cinema.”
Wykeland Group managing director Dominic Gibbons added: “This scheme will respect and conserve the heritage of the site while delivering many economic, social and community benefits for Northallerton, the wider area and local residents.”