A social-housing component will make up one floor of the redeveloped New Zealand Loan and Mercantile heritage building in Dunedin's waterfront precinct.
Thirty apartments are being constructed - mostly one-bedroom units - and could be ready for low-income tenants by the end of next year.
Tenants will come from the Government’s housing register, with the project being run by the Salvation Army.
There will also be a community space and a room described as an area for craft-type activities.
Market-rate apartments would occupy the upper floors and commercial users the ground floor.
