Work has begun on a £3 million development in Bourne which will provide new homes in the town centre.
South Kesteven District Council’s commercial company Gravitas Housing is running the project, which will deliver 20 two-bedroom apartments and five three-bedroom town houses.
It will also included 25 parking spaces, increased from 20 after public consultation.
Planning agreements will help the nearby Hereward Group Practice health centre with £11,000 to meet increasing patient numbers.
A further £454,000 will be set aside to help provide affordable housing off site.
The Gravitas Project, next to Bourne Conservation Area, will be built by contractor RG Carter in red brick with slate tile roofs and frontage to both Burghley Street and Wherry’s Lane, with a four-storey focal point at the junction of those streets.
Deputy leader of South Kesteven District Council, Councillor Kelham Cooke, said: “Wherry’s Lane will help us deliver much-needed high quality new homes for Bourne right in the heart of the town, with a wide range of shops, services, facilities and employment opportunities within easy walking distance.
“The new development will contribute to the vitality of the town,” he added.
Gravitas Housing is a wholly-owned commercial housing company giving SKDC the opportunity to acquire, develop and manage housing and commercial residential property in the private sector.