The development comprises housing, a narrowboat marina and 2,500 m2 of retail and leisure space.
The Grand Union Canal, which runs through Milton Keynes, divides the site into two distinct areas.
Once complete the development will deliver 332 one- and two-bedroom apartments and 51 three-, four- and five-bedroom houses.
The eight hectare site will also include a new marina on the Grand Union Canal, providing 111 berths, a canal-side pub, café, restaurant and a new footbridge linking the two sides of the canal.
The marina is expected to open in April 2019, while the first homes should be occupied in October 2019. The development is expected to be fully completed by 2023.
Crest Nicholson managing director Scott Black said: “We are pleased to have cemented our agreement with the Milton Keynes Development Partnership and look forward to working together on this significant development. Once complete the scheme will provide a new gateway from the Canal to Central Milton Keynes and deliver much needed new homes to the area.”