In a statement, the Crown agency confirmed work on 16 new homes at 29 Hamilton St, East Gore, would begin later this month.
The development would consist of 14 single-storey homes, each with two bedrooms, and one duplex with two units.
Otago, Southland and South Canterbury regional director Kerrie Young said while the organisation was replacing its old homes across the country, it was building new ones for those in need.
"This is a significant development for Gore and we know it’s one the community has been looking forward to since we purchased the site," Ms Young said.
Her team had taken time to ensure the homes would be delivered in the most cost-effective way.
"We’re excited to see construction begin," she said.
Kāinga Ora bought the site in May 2022 and subsequently demolished the old tavern building, which was also once the home of the Gore Country Music Club.
In 2023, it was reported the agency intended to have 24 homes built on the site and public submissions for the development closed that December.
If there were submissions objecting to the development, a hearing would be held, a Gore District Council meeting heard at the time.
After the initial redevelopment decision, some changes were made to the original design before the latest resource consent was approved in August.
Once complete, the homes will accommodate those with the highest priority on the Ministry of Social Development’s housing register.
— Allied Media
