The land had been earmarked for office blocks but after being marketed for the past two years there has been little interest in such a development.
More than 130 new homes are currently being built to the south of the hospital and if approved this latest application would take the total number of houses there to 173.
The site would run up to the edge of Green Lane on the Warwickshire / Worcestershire border but access would be off Nine Days Lane in Redditch.
The application envisages 12 x two bed, 21 x three bed, and 9 x four bed homes, with 13 of the total being ‘affordable homes’.
Although the land had been earmarked for development under Local Plan 4 of Redditch Borough Council it nevertheless marks another step closer to neighbouring Studley.
The application’s reference number is 18/00169/FUL and it can be viewed on the Redditch Borough Council website.