Around 21 voluntary organisations were awarded grants of €1.35 million for housing projects yesterday.
The Minister of State with responsibility for housing, Mr Noel Ahern, made the announcement when he visited the Bridgefoot Street Area Project - a new development in Dublin's south inner-city.
The Bridgefoot project will replace 143 old corporation flats with more modern housing.
Mr Ahern said the development would remove opportunities for anti-social behaviour.
Similar projects were being developed in the north-east inner-city, Ballymun, Cork and Limerick, he said.
The organisations receiving the housing grants include: Focus Ireland, the Simon Communities, the Irish Council for Social Housing, Camphill Communities and Threshold.