Minister for Water, Property and Housing, Melinda Pavey said the proposed $1.9 million development formed part of the Government's investment to deliver more and better social housing throughout regional NSW.

Mrs Pavey said the NSW Land and Housing Corporation had lodged plans with Kempsey Shire Council to build six one-bedroom units in a two-storey building at a vacant site at 59 Middleton St, South Kempsey.

"More than 15 per cent of people experiencing homelessness are over the age of 55 and this figure is only increasing," Mrs Pavey said.

"This project is intended to provide homes that are fit-for-purpose and support the needs of seniors who are looking for long-term accommodation in the local community.

"The dwellings have been designed to the highest standard to make a positive contribution to the streetscape and help reframe South Kempsey with contemporary new housing.

"If approved, the project will support an estimated 14 local jobs during construction, helping to stimulate the local economy."

The site is well-serviced by public transport, with regular bus services to the Kempsey Town Centre within 350 metres, ensuring tenants can easily access medical, retail and other services.

Subject to planning approval, construction is proposed to commence on the project before the end of 2020, and be complete by the second half of 2021.

The NSW Government is continually reviewing its social housing portfolio to meet increasing demand, with projects individually designed to meet the current and future needs of local communities and stakeholders.

The South Kempsey development is part of the NSW Government's Future Directions for Social Housing in NSW - a plan to drive better outcomes for tenants by providing more and better social housing.

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