He started the project in 1845 by building a mansion, Cliff House, for himself and his family and actively promoted a railway link to Harwich.
When a chalybeate spring was discovered in the grounds of Cliff House, Bagshaw extended the property to incorporate a spa, library, pump room, and conservatory.
He next developed Orwell Terrace where his son Robert John Bagshaw, also an MP for Harwich, moved into Banksea House in 1857.
However the developments, which included Marine Parade and the Cliff Estate, caused him financial difficulties and he was declared bankrupt in 1859.
However, the election of his Conservative Party successor was voided on petition, and Bagshaw won the resulting by-election on 21 June 1853.