Greenwich Council has been handed £1.6m to build 30 homes for the over-60s across the borough.
The new homes will be 30 one and two bedroom flats and have an estimated completion date of 2016.
Money for the project, due to be completed in 2016, is coming from the Greater London Authority.
Work is also being carried out at former sheltered accommodation in Mabel Polly House, Woolwich, which will be turned into 37 flats by next September.
Elsewhere, eight garage sites are being converted into 29 flats and bungalows.
Greenwich Council cabinet member for housing Councillor Chris Kirby said: "Royal Greenwich is pleased to be able to continue its house building programme, providing well designed, modern homes of high quality for our older residents and those with disabilities."