Work to build 42 new council homes is set to begin this spring.
The mix of one, two and three-bedroom flats will be built in Victoria Road, Portslade, on land behind Portslade Town Hall.
The development will replace a bowling club which previously occupied the site, with demolition work starting this month to remove the building.
A replacement sports pavilion has already been built nearby in Victoria Recreation Ground, a Brighton and Hove City Council spokesman said, and this will provide accommodation for Portslade Bowls Club as well as football changing facilities.
Work on the new homes will start soon, with the council saying several steps have been taken to make the development as sustainable as possible as part of its commitment to make Brighton and Hove carbon neutral by 2030.
The homes will be highly insulated and will incorporate solar panels to help reduce electricity bills for residents.
There will also be ground source heat pumps to extract heat from the ground for heating and hot water.
Plans for the Victoria Road scheme include a landscaped communal garden with raised planters, trees, a small orchard, seating and a grass area.
They also aim to provide a new outdoor space which includes seating, trees and "living green walls" which will be watered with recycled rainwater.
Councillor David Gibson, joint chairman of the Housing Committee, said: "It is great to see work getting under way on this major new council housing project.
"The energy efficiency measures, such as solar panels and ground source heat pumps, will benefit the environment and residents, and are a practical example of how we are working to cut emissions to become a carbon neutral city by 2030.
"We are delighted that, thanks to our joint housing programme, 200 additional council homes have been delivered in under two years – as many as the council achieved in the previous four years.
"The Victoria Road scheme is one of the ways we will continue to provide more homes over the coming years."
A Brighton and Hove City Council spokesman said there had been more than 200 new council homes provided across the city since April 2019, including 30 flats at Hawkridge Court in Selsfield Drive, Brighton, 12 flats at Buckley Close, Hangleton, and 12 homes in Kensington Street in the North Laine.
He also said the authority is converting "hidden spaces" within council properties into further accommodation.
For example, three flats at Swallow Court, Whitehawk, created by converting a former office, two extra flats at Elwyn Jones Court seniors housing scheme in Patcham and one extra flat at Woods House seniors housing scheme in Hove.
The spokesman said: "More projects are under way, including ten new flats in a former housing office in Oxford Street which will be completed this summer.
"Other initiatives include the purchase of 38 flats in Hartington Road, Brighton, to provide temporary homes for people in housing need.
"Plus the purchase of at least 19 homes to provide accommodation for former rough sleepers, through the Next Steps Accommodation Programme, will be completed by the end of March."
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