The council has granted planning approval for 22 new homes to be built on the site of the former Whinmoor pub on Stanks Lane South in Swarcliffe.
The project will be delivered by Kier Construction and completion is scheduled for summer 2018.
The former pub closed several years ago, with the condition of the building then deteriorating before the council took ownership of the site after it was added to the citywide list of derelict and nuisance properties.
The building was demolished in 2014 and plans were put in place for a redevelopment for new affordable council housing.
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The new homes will be built to the Leeds Standard in terms of design and quality, as well as embodying the best in design for sustainability, space and energy efficiency. All properties will have off-street parking and private garden areas.
In addition, a new access road will be created along with landscaping and tree planting. Some existing trees will be relocated, while additional improvements will be made to the greenspace of the local area.
Elsewhere, Kier will also deliver 49 new homes at Garnet Grove in Beeston and Broadlea Street in Bramley, with work underway at these two sites.
Operations Director, Jon Rukin, said: "We're pleased to be working with Leeds City Council on the connected schemes in Beeston, Bramley and Swarcliffe to provide much-needed affordable housing across the city. We're looking forward to bringing this brownfield site back into use, and with a focus on space and sustainability, the homes are designed to meet the needs of the local community for many years to come."
Cllr Debra Cooper added: "I am delighted that approval has been given to commence work on this site. Together with two connected schemes in Bramley and Beeston, it is great that we are able to get on and build more much-needed council homes in our city."
(LM/CD)
