A major housing project to regenerate a dilapidated area of Salford could relieve an accommodation crisis among Jewish families.

Countryside Properties plans to construct 80 family homes on the site of demolished terraced housing on Leicester Road, which is lined with kosher shops. The development is part of a wider plan for a medical centre and retail area with a social housing element to help families with low budgets.

Last week, more than 100 Jews attended two public consultation events run by Countryside to assess interest in the project and hear suggestions for changes. The current plans are for houses with between three and five bedrooms set on multiple floors.

A similar £120 million Broughton Green development was opened in the area by another company in 2006. Its 70 houses and apartments are now occupied mainly by Jewish families.

The Countryside proposal also coincides with a strategic housing review by the Manchester Jewish Housing Association. This week, MJHA was finalising a first draft of its research before developing its own social housing scheme on the former Mamlock House Jewish community centre site.

Peter Koppenheim has represented the Jewish community in local social housing schemes and is involved in Countryside's consultations. He is "aware of 200 Jewish people who are desperately looking for either social or non-social housing, close to Jewish shops and local synagogues and schools. In Broughton Park, an area of just a couple of square miles, there are 2,500 Jewish families and it's bursting at the seams because there are very few houses for sale."

Ian Simpson, land director for Countryside's Regeneration North projects, said planning applications would be submitted within weeks but stressed that the ultimate design had not been finalised.

"The [consultation] events were well attended, including representatives from the Jewish community, and we were pleased with the level of interest. We have taken away the comments and suggestions to see how we can improve upon our initial ideas."