An application to demolish 28 units on Greyhound Opening and Goldsmith Street has been submitted to the council.
When planning permission is granted, it is hoped demolition can start in September to make way for construction in 2010.
Councillor Brian Morrey Executive Member for Sustainable City Development said: "The demand for social housing is greater than ever and so a development providing 100 families with much needed accommodation is very significant.
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"This scheme will provide high quality affordable housing which is as energy and resource efficient as possible and so will not only ensure running costs are kept low for the tenants, but fulfil our responsibility to our environment."
Riches Hawley Mikhail Architects has been appointed to design the new development having won a competition run by the Royal Institute of British Architects (RIBA).
The competition attracted 101 expressions of interest from architects based in the UK, Eire, Japan and the Netherlands. Five firms were shortlisted and invited to submit preliminary design proposals for the new development.
(CD/JM)
