The announcement comes as Labour members gather in Liverpool for the annual conference.
A cabinet reshuffle, prompted by the resignation of Angela Rayner after she resigned for failing to pay enough tax on a flat purchase, saw Reed moved into the role of housing secretary.
Reed paid tribute to her work towards the government's flagship target of building 1.5 million homes and the audience gave her a standing ovation.
Just as his predecessor often did, Reed shared his own family's experience with the conference hall, recounting how he felt when an employer in the area where he grew up closed down.
"I still remember the silence around the dinner table the day the factory closed," he said, saying that his dad and wider family lost jobs, and "our whole community saw its heart ripped out. People were powerless as their lives were thrown on the scrapheap."
Reed said this event was behind his "driving mission" to rebuild the country's towns and communities and said he would be taking lessons from "the post-war Labour government housing boom".
"This party built new towns after the war to meet our promise of homes fit for heroes," he said.
"I will do whatever it takes to get Britain building again, and we won't just build homes, we'll build communities, and not just communities but entire towns."
Supporters had filled the front row of the hall wearing red MAGA-style hats reading "build baby build" during his speech, and Reed put on his own baseball cap with a smile as he made the same pledge at the end of his speech.
However, the industry has warned the government faces huge challenges to reach the government's proposed target, with housebuilders facing pressures including rising costs and taxes.
Meanwhile, recent figures showed the number of planning approvals for new homes in England fell to a record low during Labour's first year in office.