Work is set to start soon on building 65 new homes on land at Winterton Court in New Street, Horsham.
Housing Association Saxon Weald has been given the go-ahead for the new development - to be called Innes Square - by Horsham District Council and hopes to complete the homes by spring 2019.
The development will consist of 27 one-bedroom flats and 38 two-bedroom homes. Twenty of the properties will be for ‘affordable rent’ and 42 for sale, with three for shared ownership.
Demolition of empty bungalows on the site started in April and construction of the new properties is expected to start once it has been completed.
Saxon Weald say that up to 95 per cent of materials from the old development will be recycled.
A spokesman said: “As a housing association, Saxon Weald is a not-for-profit organisation. Due to a lack of government grant, we are generally only able to build affordable rented homes when they are subsidised by income from other tenures, in this case, market housing.”
And Saxon Weald business development director Mark Crosby said that the district council had approved two different schemes, but that its final choice had been made following consultations with people living nearby.
“Our decision has been guided by the views of neighbours and local councillors, and we have chosen the scheme preferred by them. We believe it is a well thought-out design which makes the most of this sustainable site, while being sensitive to the surrounding area,” he said.