The funding ensures that Huddersfield property firm Über Massclusive has the capital to proceed with the development of 23 homes at Clegg Hall Mills, in Littleborough.
The Grade II-listed mill is being transformed in three phases - the last scheduled for completion early next year. The development will include one, two and three-bedroom apartments in the canalside mill, townhouses and apartments in the main mill, and the conversion of two outbuildings into four and five-bedroom detached houses.
The scheme has been drawn up in conjunction with architects Mason Gillibrand of Lancaster.
Richard Sommerville, director of Über Massclusive, said: "Energy efficiency and a low carbon footprint, together with a superb location, add to the appeal of these homes."
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