East Lothian Council has been awarded funding of £4.4 million to build new council houses in North Berwick, Prestonpans, Musselburgh and Cockenzie.
The investment comes from the Scottish Government for new-build council houses and will go towards funding around 150 family homes in the county.
The grants included £1.32m for 44 new homes at Lochbridge Road, North Berwick, £990,000 for 33 new homes at Cockenzie Harbour, and £720,000 for 24 new homes at the Lidl site, Prestonpans.
The others included £270,000 for nine new homes at 43 High Street, Prestonpans, £510,000 for 17 new homes at Monktonhall, Musselburgh and £600,000 for 20 new homes at Kilwinning, Musselburgh.
The sites in North Berwick will represent the first council houses to be built in the coastal town for 26 years.
Councillor Stuart Currie, cabinet member for housing, said: “This is great news for East Lothian.
“The government recognises how pressured the housing situation is here and this is reflected in us getting these significant funding awards.
“This government funding means, essentially, that we now have a subsidy for each of the new homes being built on these sites so we have to find less from our own, very pressured, budget.
“We welcome this announcement as great news for East Lothian residents.”
Work on the majority of the new homes is due to start in 2011/12.