The development will consist of a mix of one, two, three and four-bedroomed properties and comprise a mixture of social and mid-market rental housing.

It is part-funded by the Scottish Government, Cairn Housing Association, Highland Housing Alliance and the City Region Deal.

With a completion date of spring 2021, the development marks a significant step forward in the Scottish Government’s drive to deliver upwards of 50,000 new homes by the end of 2021.

Gail Matheson, chief executive at Highland Housing Alliance, said: “Avoch is a beautiful harbour village, and we’d expect high levels of interest from potential residents. We’d encourage people to get in touch at an early stage for more information.

“Anybody who would like to live at our development should contact our office for an application form and follow the progress of the site on our web site and Facebook page. Mid-market rent is a popular housing option available to economically active families and individuals looking to stay in a stylish, new home in the Highlands.”

Jason MacGilp, chief executive officer of Cairn Housing Association, said: “It was a real pleasure to see the start of works at Memorial Field in Avoch. This is a very positive project and Cairn is delighted to be working in partnership with the Scottish Government, Highland Council and the Alliance.

“When completed next year, the new neighbourhood will include 34 new affordable homes for rent by Cairn. We are delighted to be leading the way in meeting local housing needs and supporting the community on the Black Isle.”

Housing minister Kevin Stewart said: “Residents in Avoch will gain 46 affordable, high-quality new homes through the City Region Deal. It will also stimulate growth and infrastructure investment, benefitting businesses and the wider community.

“Our contribution from the City Region and Growth Deal alongside a grant of more than £4.2 million from our Affordable Housing Supply programme will strengthen this rural community and keep us on track to achieve our ambitious target of 50,000 affordable homes by the end of March 2021.”

Black Isle Ward councillor Craig Fraser was delighted to take part in the turf cutting ceremony.

He said: “I very much welcome this new housing development on the Black isle which will provide much needed social housing, especially for local families and young people as demand for such housing is very high in our communities.

“The allocations policy for homes built for affordable rent recognises the needs of people who have a reason to reside in the area and I hope that people who have a housing need and reason to live there make sure that their details are updated on the Highland Housing Register.”

Building work on the homes is being delivered by WGC (Scotland) Ltd. HHA is delivering 12 of the homes for mid-market rent, with the remaining 34 allocated for social rent being delivered by Cairn Housing Association.

Local people interested in the development are being invited by Highland Housing Alliance to contact them.