Phase two involves the construction of 72 new homes and is worth £6.5m.
Lovell began work in mid-2014 on the 58-home first phase and handed over the first completed properties to client Seren Group this month (November 2015).
The overall £28m scheme will deliver 250 high-quality arts & crafts-style homes by 2018, along with tree-lined streets, a community garden, orchard and park areas.
Loftus Garden Village is being built on the former site of Newport’s Royal Ordnance factory, which had been empty for more than 10 years.
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