The site of the long-closed Heathmont Primary School has been given a new lease of life with the completion of 21 architect-designed social housing units to provide much-needed accommodation in Melbourne's eastern suburbs.

The new housing was recently inspected and opened by Housing Minister Candy Broad.

The project was split into two streams with 13 units built facing Frances Street to accommodate older persons and a further eight family units built facing Balfour Avenue.

The site was purchased by the Office of Housing in June, 2000 but became the subject of a lengthy local resident and council dispute.

Successful negotiation has resolved the issues and led to the retention of many mature trees as an integral part of both developments.

The development was designed by HKB Architects with builders D. and A. Pulitano.

Construction began in October last year and was completed ahead of schedule in August at a cost of just over $2.8 million. 

Part of the vacant land remaining from the original school site will become public open space and the rest will be sold for private development.

During the visit, Ms Broad presented keys to Zelma Ratanapintha who—with her husband Wachar and children Melissa, 16, and Daniel, 11—was about to move into her new Heathmont home.