Works at Waingākau Village in Flaxmere will unlock 76 more lots and allow for up to 82 standalone homes.
Waingākau Village is a co-housing development set on 15.5 hectares of land on Flaxmere's western edge, and is aimed at making home ownership more accessible for whānau.
It is supported by Te Taiwhenua o Heretaunga and Hastings District Council.
Civil contractors Downer New Zealand Limited have been appointed to build roading infrastructure at the end of the month.
Works are expected to be completed by March 2022 and a Te Taiwhenua o Heretaunga (TToH) spokesperson said the original plans were for 52 conventional standalone homes, and new plans have taken this to 82 conventional homes and co-housing villages.