Hundreds of jubilant Manningham residents took to the streets to welcome the bulldozers at historic Lister's Mill.
Community campaigners and well-wishers joined a march - led by a huge yellow digger - along Oak Lane from Lister Park to the landmark mill.
And the Sunday afternoon rain failed to dampen people's spirits as they celebrated at a party in Patent Street.
The bash was held to mark the start of work today at the derelict mill.
On Saturday in the Trinity Methodist Church residents were also able to speak to Lancashire-based developers Urban Splash who are pouring £18 million into the Grade II listed building. Company director Bill Maynard said plans for the landmark included the possibility of installing a £250,000 lift in the distinctive towering chimney.
"This would be a fabulous opportunity for people to go to the top of the UK's finest chimney to get fabulous views of Bradford," he said.
"The mill has unfortunately become a symbol of what's wrong with Bradford and the lack of confidence in the city from investors.
"But we have confidence in Bradford and things are changing here. We believe it's the next big thing and we want to be a part of it."
The regeneration scheme, which is expected to create more than 1,300 jobs and hundreds of apartments, will be completed in phases.
Phase one includes £6.8 million of work, including the removal of asbestos, heavy metals and oil, and making the site safe for workers.
It also includes developing one of the mill buildings to create 120 flats, offices, a base for Manningham Mills Community Association, which campaigned for the long-awaited revamp, and a community space.
Association chairman the Reverend George Moffatt said he was delighted to see so many people enjoying themselves.
"The whole of the community is pulling together on this one and it heralds the beginning of great things in Manningham," he said.
The Bishop of Bradford, the Right Reverend David James, joined revellers.
He said: "It's a great weekend for Bradford and this is the start of the biggest regeneration project in the country.
"I was delighted to hear that something as good as this was happening just down the road from where I live and I look forward to watching the mill develop."
The fun included entertainment by street band the Peace Artistes (the band's Helen Mills is pictured outside the mills), a buffet, singing and poetry.
Singer-songwriter Rahel Guzelian, of Heaton Road, also performed A Piece of your Peace, a song she wrote after the city's riots in 2001, with Margaret McMillan Primary School's choir.
"This day is about looking ahead and showing everyone that this is the beginning of a new Manningham," she said.
There will also be a number of consultation meetings held to discuss what residents would like to see done with the community space.
Comments: Our rules
We want our comments to be a lively and valuable part of our community - a place where readers can debate and engage with the most important local issues. The ability to comment on our stories is a privilege, not a right, however, and that privilege may be withdrawn if it is abused or misused.
Please report any comments that break our rules.
Read the rules hereComments are closed on this article