Demolition of the Currong flats on the corner of Cooyong Street and Ainslie Avenue in the city begins in September, with the land to be sold for a new set of apartments and commercial development.
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Head of the government's public housing renewal taskforce David Collett said site preparation would begin this month, with the $6 million demolition to be completed early in 2016.
The government also plans to demolish the neighbouring Bega and Allawah flats, and Mr Collett said while the sales process for the cleared blocks was yet to be determined, it was anticipated the Currong and Allawah blocks would be offered together.
"Redevelopment of this site is a key element of the government's urban renewal plan to transform and revitalise the city centre," Mr Collett said.
The demolition is being done by Manteena and supervised by Indesco.
The eight-storey Currong has 212 units. They will be replaced with 190 apartments with stepped heights from three to eight storeys.
Mr Collett said the Currong apartments were among 13 multi-unit public housing developments set for redevelopment.
The government is demolishing 1288 units, including a number on Northbourne Avenue. The replacement public housing is to be in smaller blocks and spread across the suburbs.
Announcing the planning change for the development last year, Evironment Minister Simon Corbell said the building heights had been scaled back from a planned 15 storeys to 12. "The bulk and scale of buildings should not have a negative impact on nearby residents," he said.
The development would include at least 5800 square metres of space for community facilities.
The Allawah and Bega Courts were built in 1956-57 and Currong in 1959.
