Affordable housing specialist Lovell is set to start work on an £8m, 70-home development for social housing provider Riverside in Childwall, Liverpool.
Situated opposite the Belle Vale shopping centre, the scheme will include 42 apartments for the over-55s, 14 flats for affordable rent, and 12 flats and two bungalows for low-cost home ownership.
It is set to be completed by December 2014.
Riverside's project manager, Annette Dennett, said: "The over-55s' scheme will provide a range of housing, from extra care and elderly supported housing, to more independent living.
"The project is just one element of our much wider programme of regeneration of the Lee Valley area.
"We want to make sure that the accommodation doesn't feel like an older persons' housing scheme.
"This is a high-quality complex for people with varying levels of independence."
Lovell regional director Nigel Yates said: "This scheme will create high-quality extra care homes providing older residents with the opportunity to live independently whilst knowing that help is available should they need it.
"In addition, it will meet the demand for new affordable homes for rent locally as well as delivering homes for low-cost home ownership, enabling local people to take their first step on to the housing ladder."
Lovell is part of the Morgan Sindall Group. The architect for the scheme is DK-Architects.