Currently Uniting has a development application in place, has demolished the old buildings on the site and is awaiting the construction certificate.

Director of property and housing at Uniting Simon Furness said there has been a growing demand for accommodation for older people across the South Coast.

"We've been looking at expanding here for some years and we've now just got to a point where it works for us," Mr Furness said.

"We also want to take the opportunity to provide housing for older people in the area on all budgets and all backgrounds."

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Mr Furness said in just over 18 months they should have people moving in there.

"We're very excited to be building down here, it's a very important area for us," he said.

"We've invested quite a lot of money on residential aged care and improving it for our residents so this is really just part of that expansion and investment in the area."

Just under 20 per cent of the new units will be social and affordable housing in partnership with the NSW Department of Communities and Justice.

The units are funded through the NSW Government's Social and Affordable Housing Fund (SAHF), which aims to address housing stress and homelessness.