Lovell is transforming Reynolds Court in Newport, near Saffron Walden, into a purpose-built modern complex.
The existing sheltered housing is being replaced with 41 new apartments and new communal facilities. The first phase of demolition and site clearance has already been carried out. The demolition programme is being undertaken in two stages so that existing tenants do not have to move away while it is being rebuilt.
Uttlesford councillor Julie Redfern, cabinet member for housing, said: “Reynolds Court is a major project for us and I am delighted that work has officially started. The design has received much praise and is something we all feel very excited about. When complete the new complex will provide a more modern and comfortable standard of living for residents, as well as some additional housing, and will also go some way to addressing the needs of a growing elderly population.”