The Millbay area of Plymouth is located on the south western edge of the city centre, in Stonehouse which is one of the most deprived neighbourhoods in the region.  
 
Although Millbay faces many problems typical of inner city areas, it also has significant untapped potential, including one of the largest dock basins in Plymouth, and a wealth of land available for development. 
 
The vacant sites on the eastern side of Millbay Docks and along Millbay Road are in the ownership of the Government's regeneration agency, English Partnerships (EP). Working with its selected lead developer, the English Cities Fund, EP has brought forward a comprehensive regeneration scheme to create a new and vibrant City Quarter, a destination in itself, but strongly linked to the nearby city centre. 
 
An outline planning application has now been submitted by the English Cities Fund for around 1,270 residential units, 9,000 sq m of shops, 12,000 sq m of cafes and restaurants, 1,700 sq m of bars and leisure uses, 40,200 sq m of offices and employment units, 2 hotels and a remodelling of the Pavilions Arena. A decision on the planning application is expected by August 2007. 
 
Within Millbay Docks itself, the Agency will, in 2007, be funding the construction of a new quay wall along the western side of the Inner Basin, which together with land reclamation works will provide a site of about 1.0ha for marine employment uses. In addition to this, also in 2007, EP/ECf will fund the construction of a new hydraulic sill which is designed to retain a minimum depth of water within the Inner Basin to permit its use for boat building and yacht berthing.