Galway Bay fm newsroom - Government funding of seven and a half million euro has been allocated for the provision of 100 new homes in the city.
The funding will allow two approved housing bodies to construct or acquire new homes at Castlegar and Renmore.
The lion's share of the funding - 6.3 million euro - will go to housing agency Respond, for 81 houses on the Castlegar Road.
Meanwhile, a further 1.1 million euro has been allocated to housing charity Cluid towards the construction of 20 new homes at Murrough in Renmore.
The funding from the Department of Housing is being provided under the Capital Advance Leasing Facility - which provides up to 30% of the cost up front on a long term loan.
It's expected that the 20 new homes earmarked for Murrough will be completed by this time next year - while the Castlegar homes will follow in 2019.
Galway West South Mayo T.D and Minister of State Seán Kyne says the funds will speed up the process of providing homes.
