Dundee City Council has been given an extra £1.3 million to invest in new social housing.
The Scottish Government funding is expected to benefit scores of families.
Housing convener John Alexander said: “We are delighted with this money because we are crying out for social housing at the moment across the city.
“We will look at where in the city we can bring forward using our strategic housing investment plan predominantly the regeneration areas. Hopefully the extra money will also bring in new interest from housing associations.
“The homes will likely be a mix of different types of housing, and will create a sense of community with families.”
Councils currently receive up to £30,000 per house to help meet the cost of building projects, while housing associations get around £42,000.
The new investment will see subsidies rise by £16,000 per home.
Deputy first minister Nicola Sturgeon said: “Increasing the supply of affordable housing is a vital part of our efforts to build a better and fairer Scotland.”
