Work is underway at the Stratford District Council subdivision site, following a site blessing on Monday.
Over 5ha of land will be turned into a subdivision of 33 sections, which will be for sale later this year.
The land was purchased by Stratford District Council in May last year for the project. The entrance will be off Pembroke Road opposite the northern end of Brecon Road. With a focus on affordability, Council won't make a large profit from the project, but will recoup costs and invest in town growth.
Mayor Neil Volzke says the subdivision is something Stratford has been in need of, and it is something he is proud to have pushed for.
"It's something I have supported all along and I am really pleased it is going ahead."