The contract has been awarded by Dunedin Canmore Group as part of the latest phase of a major housing regeneration programme for the Oxgangs area of the city.
The scheme will see Lovell build 22 flats and 12 houses at Firhill Drive.
The land had previously been home to tower blocks which have now been demolished.
13 homes for social rent and 21 properties for Mid Market Rent are going to be created by the development, expected to be completed in autumn 2013.
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The contract follows Lovell’s completion of the first three phases of the Oxgangs programme for the housing association.
So far the scheme has delivered 209 new homes and seven commercial units including shops, offices and a nursery.
Lovell has also finished work on 377 homes at the Moredun Park and Hyvots estates, Edinburgh, for Dunedin Canmore.
This latest development at Firhill Drive will use energy-efficiency features such as passive stack ventilation, by which warm, moist air is drawn up from the kitchen and bathroom through ducting where it escapes into the atmosphere. This allows homes to be ventilated without the use of electric fans.
Energy-saving 'eco cabins' are being use on site to save fuel through features such as diesel heating and intelligent lighting.
Lovell regional director Alan Taylor, said: "We’re delighted to be continuing our excellent working relationship with Dunedin Canmore Group, helping deliver the latest stage of this important housing regeneration programme which will create new high-quality, energy-efficient affordable homes for rent."
(IT)
