Clarke Street in Gate Pa is abuzz with early Christmas cheer as 20 residents move from dated and inaccessible accommodation into brand new functional homes.

Classic Builders have recently finished developing 14 purpose built units - eight one bedroomed and six two-bedroomed units - for people of mixed ages and abilities.

New tenant James Martin is congratulated by Classic Builders project manager Paul Taylor and Tauranga Community Housing Trust manager Chris Johnstone. Photo: Supplied.

The development is a Tauranga Community Housing Trust project, who received a $1.7million cash injection from the Government last year to help develop an age-friendly affordable housing village.

Tauranga Community Housing Trust manager Chris Johnston says the new homes will bring much joy to residents and families who will now be settled before Christmas.

'Modern, affordable and warm dry housing for over 20 people with a serious housing need has been achieved, and we are delighted,” says Chris.

'The fact it looks so good, is a huge bonus.”

The non-profit trust identified the housing need for residents who have a range of physical, intellectual or financial barriers and forged ahead with help from various partners to make it possible.

At least 50 per cent of the homes will incorporate universal design features including being fully wheelchair accessible.

Tenants will pay a social rent of about 80 per cent of market cost.

In addition, while the properties had to be affordable, they also had to have solid capital gain potential.

'We couldn't have done this without a capital grant from central Government and the high level of support from local funders such as Bay Trust and TECT,” adds Chris.

'This project demonstrates what can be achieved through partnerships between central government, local government, the non-government sector and local funders.

'We look forward to continued future support in helping achieve other developments, to meet this growing need.”

Classic Builders co-director Matthew Lagerberg says this development is an urban design that is functional, affordable and provides good quality properties.

He says; 'We are following trends in cities like Melbourne, Auckland, Queenstown and now Tauranga, where high density living situations are becoming the norm.

'Plus the proximity to infrastructure such as Tauranga Hospital and medical amenities is a tremendous positive, making life so much easier for those needing to access healthcare on a regular basis.

'It needs to be understood that high density developments work really well for those living in them and no corners are cut in providing these good quality, affordable homes.”

New tenant James Martin moved in last week and says he has been well looked after by the Tauranga Community Housing Trust.

'I love it here,” says James. 'I feel so proud to be in a new house. It's so tidy and I know three neighbours from my previous address, so that's great.”

The new housing development already has a friendly feel with some landscaping and a central area of wooden bench seats and pergola placed in the middle of the units to encourage community.

Recently appointed Minister of Social Housing, Minister Paula Bennett, has been invited to open the Clarke St project in the New Year. An appropriate name is currently being considered for the development.