Twenty-four new homes are to be built in the final phase of the decade-long regeneration of Tanshall and Caskieberran.
Construction work begins next month on the dwellings which will replace the unpopular maisonette blocks that were demolished last year.
The Scottish Government and Fife Council have contributed subsidies of £10.8 million to allow Kingdom Housing Association to develop the project.
Kingdom’s Bill Banks said: “The project has been ongoing since 2004 and given the maisonette blocks were all tenanted, it was necessary to approach the project on a phased basis.
“Although this has been a long programme, it has allowed us to work closely with the tenants and the local community to agree rehousing solutions and agree design proposals.
“The project has also helped sustain the community, through providing new housing in the immediate area, rather than tenants having to move to other areas”.
The work represents the final phase of the Scottish Government’s estate based regeneration programme.