Deputy Minister for Housing and Regeneration Jocelyn Davies AM and Minister for Budget and Business Jane Hutt made the announcement during a visit to Linc Cymru's Llys Enfys Extracare housing scheme in Llanishen, Cardiff.
The extra funding will speed up the development of Extracare schemes currently under construction which in turn will free up funding for other projects in future.
Extracare housing schemes are similar to sheltered accommodation but provide extra facilities and as much or as little extra care as necessary to enable older people to live in their own homes and maintain their independence in a safe and secure environment, with an on site, 24 hour, 365 day care service specifically tailored to meet individual needs.
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Completed in March 2010, the development contains 60 apartments for Extracare provision, seven of which specifically designed and adapted for older people with memory loss or dementia, eight apartments for young adults with physical disabilities and 34 sheltered apartments for older people who don't require extra care. The £16.7m project was funded with £9.8 million from the Welsh Assembly Government's Social Housing Grant.
Ms Davies said: "I have been very impressed with what I have seen at Llys Enfys. Everything, from the colour of the carpet to the layout of the rooms has been designed to maximise the benefits for the residents and I am delighted that Welsh Assembly Government funding has contributed to such a wonderful facility.
"Schemes like this are essential in maintaining the independence and confidence of older people at the same time as ensuring their needs are met and that they have the security of knowing help is at hand should they need it. Regardless of the considerable benefits to the wellbeing of older people, schemes like this also deliver far more in savings for other areas such as the NHS and Social Services than they cost, so they also represent excellent value for money."
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