The £8.24 million project to replace public sector housing in Ballasalla’s Clagh Vane estate is on target to be completed in August 2019.
In an area of the estate known as The Horse Shoe, 42 homes - which were demolished in 2016 - will be replaced by 51 new properties.
In addition to 39 two-, three- and four-bedroom homes, the development also includes four wheelchair-friendly properties and eight low-energy homes.
This builds on the success of the award-winning Passivhaus project at Janet’s Corner in Castletown.
The development includes a revised road layout, additional car parking, landscaping features, open green space and newly-planted trees.
Refurbishment of the 42 houses, built in 1949 on a former Royal Naval service camp, was not economically viable, the government said.

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