MORE low-cost housing will be available in Derby after a grant of more than £2.6m was awarded to Derby City Council.
The authority, in partnership with Derby Homes, was successful in its application to the Homes and Communities Agency, which will provide 129 additional "affordable homes" in the city.
This will include 92 new council homes for rent, 57 of which will be provided for elderly residents.
Derby Homes will also build 22 homes for rent, which will support further development within the Osmaston area.
Part of the grant will also go towards bringing 15 empty properties back into use as council housing for rent.
Councillor Sarah Russell, cabinet member for housing, finance and welfare, said: "This is excellent news for Derby and will provide the city with much needed affordable housing over the next few years.
"Receiving this grant demonstrates the Homes and Communities Agency's confidence in our ability to deliver the proposed development programme.
"Each of these 129 new homes will help a family or a single person who is in real need of safe, affordable and energy-efficient housing."
Councillor Margaret Redfern, interim chair of Derby Homes, added: "This is an exciting opportunity for Derby Homes, as a key partner of the council, to support the delivery of much-needed affordable council housing in the city as well as delivering our own housing programme.
"This is a testament to the hard work put in by all partners to produce an ambitious but deliverable affordable housing development programme which city residents will benefit from for years to come."
