Kingdom Housing Association has started work on the £3.1m development that will see a mixture of common access apartments and cottage flats built on Station Road, close to Leven town centre.
The mid market rent homes will be owned by Kingdom Housing Association but let and managed by Kingdom Initiatives after completion.
With funding of £1.2m provided by the Scottish Government, the new highly-efficient properties have been designed to achieve Scottish Government Greener Standards, Housing for Varying Needs standards and Secured By Design Accreditation.
Quale Homes is delivering the project for Kingdom and completion is expected in July 2022.
Bill Banks, Kingdom Group chief executive, said: “The latest development for mid market rental properties at Station Road in Leven addresses the need for extremely high quality, stylish, energy-efficient affordable rental properties in the area.”