Housing provider Longhurst Group, which owns and manages more than 23,000 homes across the Midlands and East of England, is delivering the 36-home Welland Park development in the town.
It will be made up of two and three bedroom homes, with many of the properties now starting to take shape on site.
Marcus Keys, Longhurst Group’s executive director of growth and development, said he was delighted with how work was progressing.
He added: “It’s wonderful to see the progress on site at Welland Park – a development we’re proud to be delivering to this part of Lincolnshire.
“It’ll provide more much needed affordable housing in Spalding and will help us to meet our vision within our Improving Lives strategy of providing the homes people want, where they’re needed most.
“We’re delighted to be able to give local people the opportunity to buy their first home on this development with 18 homes available through shared ownership.
“I’d like to thank our partners at Lindum Group for their hard work on this development and I’m looking forward to the final stages being completed and these homes coming to market later this year.”
In total, 18 homes on the development – which is accessible from Roman Bank and Holbeach Road - will be made available for shared ownership with the remaining 18 available for affordable rent.